White House walks back NIH grant blocks – Becker’s Hospital Review | Healthcare News

The White House has reversed a short-lived directive for the National Institutes of Health to halt funding for new research grants — a move that would have paused nearly $15 billion in federal funds that support health research, according to a report from The Washington Post, which is based on internal emails and interviews with federal officials familiar with the situation. 

On July 29, the Office of Management and Budget sent NIH officials a document with a footnote stating that, while the OMB was allotting the NIH its “full-year apportionment” of congressionally mandated funds, the money could only be used to cover salaries, administrative expenses and clinical center expenses. The footnote stated that funding for research grants, research and development contracts, and training awards “cannot be issued during this pause.” 

Four hours later, a spokesperson for the OMB confirmed funds were released, meaning the NIH is able to continue releasing funds for research grants. Sen. Patty Murray, D-Wash., who sits on the Senate Appropriations Committee, said the move would have put a freeze on $15 billion in federal funds if it was not reversed. 

In June, President Donald Trump released the proposed fiscal budget for 2026, calling for a 40% reduction in funding for the NIH. The agency has terminated billions of dollars in grants to universities and academic medical centers since January.