The US agency overseeing medical research has announced a major cut in funding to universities and research centers, a move strongly condemned by scientists and academics who say work on cancer and other diseases will suffer, AFP reports.

The National Institutes of Health (NIH) said it was setting a 15 percent limit on its funding of "indirect," or overhead, costs linked to research.

That represents a dramatic drop, amounting to billions of dollars, from the indirect billings of up to 60 percent now charged by some organizations.

"This change will save more than $4B a year effective immediately," the official NIH account said on X.

It said it was "vital to ensure that as many funds as possible go toward direct scientific research costs."

The expenses being targeted include maintenance, equipment and administrative costs at research laboratories.

The cut could affect research on diseases like cancer and neurodegenerative conditions like Alzheimer's and Parkinson's diseases, scientists said.

"This is a surefire way to cripple lifesaving research and innovation," Matt Owens, president of COGR, which represents research institutes and university medical centers, said in a statement to AFP.