Cancer Research Funding in Flux: Why Private Philanthropy Matters More Than Ever

By Madelyn Olsen, Communications Consultant, PHASE ONE Foundation

In recent months, headlines about federal budget freezes and proposed cuts have raised alarm across the research community. These changes impact scientific fields broadly, however cancer research experiences immediate consequences that directly affect patients who rely on timely advancements.

The Current Funding Landscape

The National Institutes of Health (NIH) is the largest source of medical research funding in the world, and the National Cancer Institute (NCI) — part of NIH — is the primary federal funder for cancer research in the United States.

Recent reports from the Senate and leading cancer research organizations highlight significant shifts in available resources:

• Decrease of $2.7 billion committed by NIH to researchers through March 2025, compared to the same period last year.

• Drop of 31% in NCI cancer grant funding in the first quarter of 2025 versus 2024.

• Decrease from 9% to 4% of NCI grant applications expected to be funded in 2025. Prior grant funding numbers were already at a historic low.

• Proposed cut of 40% to NIH’s FY26 budget, with a reduction to $27.5B from last year’s $48B (NCI proposed at $4.53B).

These numbers translate into fewer research awards, stalled or canceled clinical trials, and slowed progress toward new treatments. Some awards that have been terminated or frozen were supporting clinical trials that were actively enrolling patients— meaning delays don’t just affect the lab, but also people waiting for new therapies, in some cases those who are mid-trial.

What This Means for Cancer Research

Federal funding cycles are the foundation of most large-scale research programs. When those cycles are disrupted, scientists face difficult decisions: scaling back studies, closing labs, or pausing trials. Breakthroughs that were on the horizon may now take years longer to reach patients— or may never be realized.

The competition for federal dollars is also becoming steeper. At the NCI, funding rates have dropped to the fourth percentile, making it harder than ever for new ideas to get a foothold.

 

Private Philanthropy Can Help Fill the Gap

Private philanthropy has always been a vital partner to federal funding, often providing seed money for early-stage projects or bridging the gap between grant cycles. In today’s climate, this role has become even more critical.

Gifts from nonprofits like PHASE ONE enable researchers to:

• Launch new studies when federal grants are delayed or unavailable.

• Keep labs staffed and operational during funding gaps.

• Move promising therapies into clinical trials faster.

For patients and families, this means hope doesn’t have to wait for the next budget cycle.

About PHASE ONE

For 25 years, PHASE ONE Foundation has been dedicated to a singular mission: advancing cancer research by funding early-phase clinical trials. Now more than ever, we are committed to ensuring that life-saving research continues regardless of shifts in the federal budget. As the funding landscape changes, private philanthropy is not just a complement to government research investment— it is a critical driver of discovery. By funding innovative, early-stage clinical trials across all cancer types, we give scientists the resources they need to keep moving forward.

To learn more about PHASE ONE’s legacy and the impact of our research, we invite you to explore our 2024 Annual Report.