Gordon Campbell | Parliament TV | Parliament Today | News Video | Crime | Employers | Housing | Immigration | Legal | Local Govt. | Maori | Welfare | Unions | Youth | Search

 


ACC proposes ‘across the board’ levy cuts next year

ACC proposes ‘across the board’ levy cuts next year

ACC is proposing significant cuts to motor vehicle levies, including the ACC petrol levy, next year, as well as further reductions to work and earner levies.

The corporation is seeking feedback on these and other proposed changes as part of its annual levy consultation process, which starts today.

After consultation closes, ACC will consider all submissions received, then make its recommendations to the Minister for ACC. The final decision on levies rests with the Government.

“On average, we’re proposing a forty per cent cut to motor vehicle levies, which are paid when relicensing a vehicle and through the petrol levy paid at the pump,” says ACC Chair Paula Rebstock.

“We’re also proposing an average twenty-one per cent cut to work levies, and a five per cent cut to the earners’ levy in 2015.”

This follows the significant reductions to work and earner levies which took effect in April this year.

Ms Rebstock says “This is a significant package of proposed levy cuts, made possible by the fact that the Scheme has achieved its goal of being fully funded.”

Full funding means ACC has sufficient financial assets to meet the lifetime costs of all existing claims.

As well as reducing motor vehicle and petrol levies, ACC is also proposing the introduction of ‘risk rating’ for cars in 2015.

Risk rating would see the levy paid by car owners reflect how their vehicle’s design affects injury outcomes in a crash.

Motor vehicle levies already reflect the different risk and cost of injury associated with different classes of vehicle. Risk rating would enable a more sophisticated classification of risk, based on real life crash data, within the ‘light passenger’ classes, which essentially comprise cars.

“Risk rating would mean owners of safer cars pay lower levies, to reflect the fact their vehicle is less likely to cause injury if involved in a crash.

“While owners of the safest cars may receive the largest levy cut, I’d like to emphasise that all car owners will pay lower levies under our proposed changes.”

Ms Rebstock says ACC is not proposing levy reductions for motorcycles next year. This is because motorcycle-related injuries continue to generate disproportionately high costs for the scheme, and motorcycle levies are already heavily subsidised by owners of other types of motor vehicle.

Proposed changes to levies in 2015/16
• combined average motor vehicle levy reduced from $330.68 to $200 (40% reduction)
• petrol levy reduced from 9.9 cents to 5.9 cents per litre (40% reduction)
• average work levy reduced from $0.95 to $0.75 per $100 of liable earnings (21% reduction)
• earners’ levy reduced from $1.26 to $1.20 per $100 of liable earnings (5% reduction)

Other changes that ACC is proposing for 2015/16 include:
• increasing the minimum and maximum liable earnings limits for work and earners’ levies.

Some figures highlighted in this media release depict average reductions across entire levy categories, so ACC encourages Kiwis to check the levy consultation documents, to find out the individual impact of the proposed changes.

“Levy consultation is an opportunity for Kiwis to have their say on the changes ACC is proposing for the coming year. I encourage everyone to read the consultation documents, and send us a submission if you want to share your views with us.”

This year’s consultation runs until 5.00pm on Tuesday, June 17, 2014.

To find out more about the proposed changes, go to www.acc.co.nz/levyconsultation

ENDS

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Urban Planning Report: Momentum Grows To Replace The RMA

A major new report from the Productivity Commission lays the foundation for action on the growing political consensus that the Resource Management Act and associated laws are failing both cities and the natural environment and need a complete rewrite.

Published this morning, the final “Better Urban Planning” report is the culmination of eight years of investigations ordered by the government into the causes of unaffordable housing and urban planning. More>>

 

Vaping: Quitline Supports Decision To Legalise Nicotine E-Cigarettes

Today Associate Minister of Health, Hon Nicky Wagner has announced that Government are taking the proactive step of legalising nicotine e-cigarettes, a move which Quitline is pleased to hear and support wholeheartedly. More>>

ALSO:

Gordon Campbell: On The Labour/Greens Deal (And The NZDF)

If Labour and the Greens were hoping their Budget Responsibility Rules (BRR) agreement would foster an unlikely alliance then hey… mission accomplished! Because it isn’t every day that Sue Bradford, the CTU and Matthew Hooton speak with one voice, as happened yesterday. More>>

ALSO:

Until After The Election: Extension Of Report-Back Date For Havelock North Inquiry

Attorney-General Christopher Finlayson announced today that the report-back date for the independent Inquiry into Havelock North Drinking-Water has been extended at the request of the Inquiry’s Panel. More>>

ALSO:

Little Heading For Court: Apology Over Donation/Hotel Contract Claims Not Accepted

Today I want to publicly apologise unreservedly to Mr Hagaman for any hurt, embarrassment or adverse reflection on his reputation which may have resulted from my various media statements. I have offered that apology to the Hagamans. More>>

ALSO:

Biscuit Tin Of Democracy: World Heritage Site Protection, Ombudsman and Equal Pay Bills Drawn

On Thursday, 23 March 2017 three places are available on the Order Paper for the first reading of a Member’s bill. The ballot was held, and resulted in the following bills being drawn... More>>

ALSO:

Emissions Plan: NZ Needs More Science, More Trees, Fewer Beasts

A combination of technology breakthroughs, much more plantation forestry, and a big switch away from pastoral, particularly dairy farming, are identified as the key elements of any approach New Zealand takes to reducing its carbon emissions to a net zero level, according to a new report sponsored by the New Zealand chapter of GLOBE, a multi-party, global parliamentary grouping. More>>

ALSO:

"Backed To Win Seats": Labour Māori Seat MPs Won't Stand On List

The Labour Party is backing a request from its Māori seat MPs to stand as electorate MPs only, says Labour Leader Andrew Little. More>>

OutsKey: John Key's Valedictory Speech

I rise to address this House for the very last time. It has been a huge privilege to have served the people of Helensville as their member of Parliament, and, of course, the people of New Zealand as their Prime Minister. More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
Politics
Search Scoop  
 
 
Powered by Vodafone
NZ independent news