
Statecraft What’s Wrong with NIH Grants?
Jan 9, 2026
Mike Lauer, a former Deputy Director for Extramural Research at NIH and a cardiologist, shares his insights on the current woes of NIH grant funding. He reveals the alarming drop in funding rates from 60% to 10%, and how 'soft money' careers create stress for researchers. Lauer advocates for block grants, claiming they could boost innovation by reducing paperwork and allowing long-term projects. He also discusses the inefficiencies caused by fragmented institutes and the necessity of reforming funding structures to support bold scientific exploration.
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Hyper-Competition Has Broken The System
- NIH success rates fell from about 60% in the 1950s to roughly 10% by 2025, creating hyper-competition.
- That extreme competition corrodes creativity and wastes researcher time on grant chasing.
Paperwork Exploded After Oversight Demands
- NIH grant applications ballooned from four pages to routinely 100+ pages with many administrative sections.
- Much of that growth traces to congressional demands for oversight since the 1960s.
Soft-Money Distorts Research Priorities
- Many universities use 'soft money' so faculty must secure grant funding to cover salaries.
- That incentive forces researchers to prioritize continual grant applications over long-term science.



