Identifying options for more resilient cancer research funding in the UK

Close up of a person putting test tubes in a test tube holder in a laboratory

Photo by RossandHelen/Adobe Stock

What is the issue?

Since the onset of the COVID-19 pandemic, Cancer Research UK (CRUK) has experienced a real terms decline in funds raised from the general public and a 19% decline in real terms research commitments over the past five years. The fundraising environment is expected to continue to be difficult in years to come, and CRUK is projecting a £2 billion funding gap in cancer research over the 10 years to 2033. This decline in funding exists in a context of continually growing incidence and prevalence of cancer. Returning the UK to previous real-terms levels of cancer research spending amid an increasing need for cancer research is a major concern.

In response to this challenge, CRUK commissioned RAND Europe to conduct research to identify options for more resilient cancer research funding in the UK. This six-month project was intended to support the development of future strategies for cancer research funding, ensuring that previous challenges surrounding funding resilience and sustainability are addressed and resolved for the future.

How did we help?

RAND Europe had four key research objectives:

  1. To identify and assess novel cancer research funding options.
  2. To estimate the investment needed to successfully finance each option identified.
  3. To assess the impact/interaction of the new funding model with other strands of Government support for research charities, including Gift Aid, the Charity Research Support Fund, and structural funding through e.g. UKRI.
  4. To assess the interaction of additional cancer research funding with the support the government provides to cross-cutting medical research.

Methods used by the research team to achieve these objectives included:

  • A rapid assessment of the literature on novel research funding options.
  • Interviews with key stakeholders in government, in the pharmaceutical industry, in academic research, and in innovative finance/impact investment, and from other countries with successful novel financing schemes.
  • Workshops to assess proposed funding options and to produce a shortlist.

The approach followed the Green Book approach to options appraisal, as outlined by HM Treasury.

What did we find?

Many possible funding models

There are many possible models for funding non-commercial cancer and/or general medical research, including government-issued ‘cancer research’ or ‘medical research’ bonds/gilts, megafunds, venture philanthropy, outcome partnerships/social impact bonds, and hypothecated tax.

An endowment offers greater predictability

An endowment fund was identified in discussion with Cancer Research UK as the preferred new option for funding non-commercial cancer research in the UK, drawing on UK and international examples such as the Wellcome Trust, Nesta and the Australian Medical Research Future Fund (MRFF).

Various sources of funds for an endowment

Funds for the endowment are likely to come from a mixture of private, and possibly public sector, sources. The fund could be increased over time.

Read the research

Project Team