New Zealanders have been told to expect cuts in levies for the Accident Compensation Corporation (ACC) no-fault injury scheme.

ACC Minister Judith Collins says a decision will be made after a public consultation that ends next month, but levies could be cut by about $NZ480 million ($444.47 million) in 2015/16.

“We anticipate the bulk of these cuts will be for motor vehicle levies, along with the possibility of a levy reduction for employers and the self-employed,” she said. The average levy for a private car could fall by about $NZ130 ($120.40) a year.

Ms Collins says the ACC’s consistent performance means levies for households and businesses have fallen by almost $NZ1 billion ($925.99 million) since 2011/12.

The ACC board proposes a 21% decrease in the work levy on employers and the self-employed from 2015/16, a 5% drop in the earners’ levy and a 40% reduction in the average motor vehicle levy.

It is cutting car premiums after introducing a risk rating for vehicles based on crash data from Monash University.