The Government has finally buckled to pressure from Labour and the New Zealand public in making a half billion dollar cut to ACC levies, but the full benefits are two years away,” says Opposition Leader Andrew Little.
“$500 million over two years is not enough.
“In March Labour revealed New Zealanders were being overcharged $350 million per year in the work and earners accounts. Today the government has announced $375 million in cuts next year, but this includes motor vehicle levies.
“They have already given up on making surplus this year. Not cutting levies by the full amount now is an attempt to make surplus in 2016.
“Overcharging business in New Zealand is costing jobs. Instead of worrying about covering their fiscal backside, the Government should listen to New Zealanders and cut their levies now.
“The reality is the Government’s economic management has been shown up to be shaky. This is more smoke and mirrors from a Government on the back foot,” says Andrew Little.