The Chancellor of the Exchequer, Gordon Brown, is expected to announce a review of employers' liability insurance as part of the pre-Budget report later today.
The Chancellor is expected to include an initiative on EL to promote enterprise. However some industry figures fear the move will fall short of cuts in premiums.
The Confederation of British Industry (CBI) has already urged the government to help businesses who struggle with the rising cost of cover by cutting the insurance premium tax (IPT).
Addressing delegates at the CBI conference in Manchester on Monday, Brown said: "We will be trying to increase the flexibility of the work permit system and will also be examining one grievance raised with me - the rising costs of employers' liability insurance."
Until now the Treasury has resisted demands to intervene, saying the market can address the problem.
