Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search

 


Government delivers $480 million reduction in ACC levies

Government delivers $480 million reduction in ACC levies

ACC Minister Judith Collins today announced reductions to motor vehicle levies in 2015/16 meaning the average New Zealand vehicle owner will be $135 better off each year.

“Earlier this year the Government signalled our intention to reduce ACC levies as part of Budget 2014 – today’s announcement delivers on this,” Ms Collins says.

“ACC continues to improve its financial situation, transforming the way it supports injured New Zealanders and building on its investment returns.”

In the last levy round significant reductions were made to the Work and Earners’ Accounts. This year’s focus is on reductions to the Motor Vehicle Account. The average levy will fall from around $330 to $195. This includes reductions to the licence fee and a drop of 3 cents per litre off the petrol levy.

In addition, the average levy paid by employers and self-employed people into the Work Account will fall to 90 cents per $100 of liable earnings, down from 95 cents.

“These reductions to Work and Motor Vehicle levies represent an annual saving of $480 million to New Zealand households and businesses in the 2015/16 levy year,” Ms Collins says.

“This year’s reductions, which come on top of reductions over recent years, have meant that New Zealand households and businesses will keep almost $1.5 billion, since 2011/12.

“The Government will also introduce risk rating for light passenger vehicles (cars). This will place vehicles into bands, based on their crash safety ratings, from most safe to least safe and charge each band a levy based on the cost to the scheme of different vehicles.

“While all vehicle owners will receive considerable reductions in their ACC levies, we want to ensure the amount people are paying reflects the cost to the Scheme.”

As an example, the introduction of risk rating for cars, together with the overall reduction of motor vehicle levies, owners of petrol-driven cars in the safest grouping will see the ACC component of their annual vehicle licence fee fall by 66 per cent.

Ms Collins says while the Government remains on track for further levy cuts across all accounts in 2016/17, it’s important levies continue to be set in a way that is fair, fiscally responsible and maintains ACC’s ability to fund entitlements in the future.

“We are working through the exact amounts and timing of those levy reductions and a review of the residual levy – whose role is effectively completed – is part of that consideration,” Ms Collins says.

The new ACC levy rates for motor vehicles will come into effect on 1 July 2015. The lower Work Account levy rate takes effect on 1 April 2015.

ends

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On Labour’s
Very Bad Year

While Labour leader David Cunliffe still appears to be in denial about the extent of Saturday night’s debacle, there was hardly a single redeeming feature about the election results for the centre-left. Even the victory by Labour’s Stuart Nash in Napier was the outcome of a strong showing by Conservative Party candidate Garth McVicar that split the centre-right vote... More>>

Election: National Win

With all votes counted National and John Key have won a third term and are close to being able to govern alone if they so choose.

Key has indicated he will still reach out to form a Government with ACT, United Future and Maori Party.

National ended the night on 48 percent, Labour 24.6 and the Greens 10. More>>

Overall Results | Live Results | Predictions |

ALSO:

.

 
 


Perfectly-Timed Anniversaries: Suffrage Day Is Last Chance To Enrol

“The last chance to enrol is Friday 19 September. You can’t enrol on election day.” More>>

ALSO:

Gordon Campbell: On First Time Voting (Greens)

For the last two days, I’ve turned my column over to a couple of guest columnists who are first time voters… Today’s guest columnist is Ana Avia-O’Connor, who will be casting her first time vote on Saturday for the Greens. More>>

ALSO:

Meddling: Aussie Liberals Embroiled In Key Campaign

John Key needs to explain why Australia’s Liberal Party is interfering in New Zealand domestic politics and is encouraging Kiwi voters across the ditch to vote for National just days out from the election, Labour’s campaign spokesperson Annette King says. More>>

ALSO:

SURVEILLANCE:

Election Ad Soundtrack: Rapper Eminem Sues National Party Over Copyright Breach

US rapper Eminem is suing the New Zealand National Party for alleged copyright infringement over unauthorised use of the rapper’s ‘Lose Yourself’ song in an election campaign advertisement. More>>

ALSO:

Big March: Call For An End To Domestic Violence

Hundreds of protesters marched down Lambton Quay to Parliament Monday calling for an end to domestic violence. Wearing white facemasks, waving banners and calling for “safety” for the women and children of New Zealand.. More>>

ALSO:

Pre-Election Chartering: Four New Partnership Schools To Open

Education Minister Hekia Parata today announced the Government has signed contracts to open four new Partnership Schools in 2015. More>>

ALSO:

Werewolf 50 Out Now - The Election Issue: Loss Leaders

Gordon Campbell: A third term requires a mature decision, with eyes wide open. It calls for a conscious vote of confidence… Without trying hard here are about 19 reasons, in no particular order, for not ticking ‘party vote’ National. More>>

ALSO:

Not-Especially New Plans: All Prisons To Become Working Prisons Under National

All public prisons in New Zealand will become full working prisons by 2017, and ex-prisoners will receive post-release drug addiction treatment if National is returned to government, says Corrections Spokesperson Anne Tolley. More>>

ALSO:

Māngere: "False Claim Of Matai Title" - Labour

National must explain why its candidate for Māngere Misa Fia Turner appears to be using a Matai title she is not entitled to, Labour’s MP for Māngere and Pacific Islands Affairs spokesperson Su’a William Sio says. A Matai title is a legally-recognised ... More>>

ALSO:

CPAG Report: No New Zealand Child Should Grow Up In Poverty

Child Poverty Action Group's flagship policy publication Our Children, Our Choice: Priorities for Policy calls for cross party political agreement to underpin an action plan to eliminate child poverty in New Zealand. More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
Parliament
Search Scoop  
 
 
Powered by Vodafone
NZ independent news