Government plans to recover NHS treatment costs for industrial accidents are being delayed, according to reports.
Reports suggest that the government has been persuaded that companies cannot afford to buy insurance cover to protect themselves from massive bills. However it is believed that there is no plan to drop the measure altogether.
In answer to a question about the measure from MP Brian Cotter, junior minister at the Trade Department Nigel Griffiths said he appreciated there was widespread concern in business about the cost and about availability of liability cover.
He said the government had decided the provisions in the Health & Social Care Bill to recover treatment costs "will not be commenced before the outcome of further work on the employers' liability insurance system is known".
The Department for Work and Pensions and the Office of Fair Trading both reported earlier this month on the liability insurance problem, but in place of action suggested further inquiries.
Cotter said: "New laws cannot be adopted on an act now, think later basis."
David Frost, director general of the British Chambers of Commerce, agreed: "The government should realise that this extra burden on business would be damaging regardless of the current state of the insurance market.
"The chamber of commerce network hears of businesses folding every week because of rising insurance premiums. Adding to the problem is not the answer."
