IBEC, Opposition parties and disability groups have condemned the €150 million cutbacks in research funding for universities, which are now set to proceed.
In addition, the building of training facilities for occupational nurses, speech therapists and physiotherapists that had been given the green light for the University of Limerick and UCC, and for which the Department of Health had allocated about €14 million, will not now go ahead.
It has been deferred and will become part of an ongoing review of capital funding.
The €150 million had been allocated to buy laboratory space and equipment.
Namhi, which promotes the rights of people with intellectual disability, said it was "shocked and disappointed" at the developments.
"In Ireland there is a chronic and critical shortage of speech, language and occupational therapists and physiotherapists. Children and adults with disabilities in need of these therapies are suffering on a daily basis."
The disability organisation questioned how the Minister for Education could implement his proposed Education for People with Disabilities Bill, "if there are not therapists to provide the required supports and services to children with disabilities, to enable them to attend school on an equal basis with other children".
IBEC ICT Ireland, the IBEC body representing the high-tech sector said, "our investment in research at third-level universities should be increasing rather than being cut back".
Its director, Mr Brendan Butler, said "this sends the wrong message to overseas companies who may be looking at Ireland as a location of choice for increased or new investment".
"If we wish to retain our reputation as a location of choice for foreign direct investment, we need to be encouraging additional research in this country rather that cutting off the supply line."
Fine Gael's education spokesman, Mr David Stanton, said the Higher Education Authority should be requested to appear before the Oireachtas Education Committee.
He said that "by slashing research funding this Government may save millions now, but this will cost us tens of millions in the future". Projects currently on hold "will have to be cancelled indefinitely".
Labour's Seanad education spokeswoman, Ms Joanna Tuffy, said there was no economic or educational case for slashing €150 million from the research budget, particularly as many projects were in mid-stream.
"It is incomprehensible to cut off funding from projects that are near completion."
A spokesman for the Department of Education has insisted, however, that the €150 million in cutbacks had been part of last year's Estimates and there had been no change in this.
