Labour promises to reduce ACC levies

Labour is promising to keep ACC in public ownership and says if it wins the election it will change the law to reduce pressure on levy rates.

"This will see significant decreases in the motor vehicle and average employer's levy next year," Prime Minister Helen Clark and ACC Minister Maryan Street said in a joint statement today.

They said the Government had made significant improvements to ACC over the last nine years, including increasing the cover it offered to older people and those suffering mental injury after witnessing a traumatic event at work.

"National votes against those improvements," they said.

"There can be no doubt that its plans to privatise ACC would result in private insurance companies lobbying to reduce the coverage the scheme gives to injured people."

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