Dyson Ruth: Questions for Oral Answer — Questions to Ministers Questions to Members 
Text is incorporated into the Bound Volume 
Dyson Ruth: Questions for Oral Answer — Questions to Ministers Questions to Members 
[Sitting date: 20 October 2009. Volume:658;Page:7311. Text is incorporated into the Bound Volume.] 
6. 
Hon RUTH DYSON (Labour—Port Hills) 
 to the  
Minister for ACC 
: What representations if any did he receive from the Minister of Health in regard to any increased costs to the health budget as a result of ACC changes? 
Hon Dr NICK SMITH (Minister for ACC) 
: 
 The Minister of Health and I have had several meetings and discussions about the implications of the Government’s accident compensation reforms. It is acknowledged that there will be some cost to health from the changes to the scheme in areas such as hearing self-inflicted injuries and in respect of disentitling criminals. Generally the level of support from health for sickness is less generous than that provided from accident compensation for accidents. 
Hon Ruth Dyson 
: How will the current cost-shifting from accident compensation to health improve the return-to-work rates for the 5019 people who have been added to the health surgery waiting list by the accident compensation scheme? 
Hon Dr NICK SMITH 
: The first point I make is that the accident compensation scheme has provided a higher level of elective surgery this year than it did last year. I also point out that the current Minister of Health has overseen a record increase in the number of New Zealanders who are getting operations under our public health system on which he should be congratulated. 
Michael Woodhouse 
: Has the Minister seen any examples of poor public policy decisions over health services that have given rise to financial problems for the accident compensation scheme? 
Hon Dr NICK SMITH 
: Yes I have. A decision in 2004 to provide free physiotherapy went against the advice of officials and the submissions from the New Zealand Society of Physiotherapists. It was estimated to cost $9 million and actually cost over $100 million per year. The member that was responsible for that decision was Ruth Dyson. I note that David Parker has said it was a mistake; I am looking forward to Ruth Dyson apologising to the levy payers that are now having to pay for her mistake. 
Hon Ruth Dyson 
: How will the cost-shifting from accident compensation to health help improve health services when district health boards have had $60 million cut by the Accident Compensation Corporation (ACC) from their elective surgery budget? 
Hon Dr NICK SMITH 
: Again I make the point that more people are being funded for elective surgery through the accident compensation scheme this year than last year. What is more the increase in the number of operations that are being provided by the Minister of Health through our public health service is higher than at any time. It is a huge increase on which he and this Government should be congratulated. 
Hon Ruth Dyson 
: Why did he do nothing when Treasury expressed grave concerns about the massive unfunded cost-shifting from accident compensation to health in his bill? 
Hon Dr NICK SMITH 
: Quite the opposite. Costs in accident compensation have been growing at five times the rate of inflation for the last 5 years—five times the rate of inflation. The consistent advice I have had from Treasury is that reform is required if the accident compensation scheme is to be affordable and sustainable for the long haul.