There is relief for people using social services thanks to a new government decision which will keep their data private.

The government's cut down a plan which would require Ministry of Social Development providers to hand over personal client details, in exchange for funding.

Social Service Providers national manager Brenda Pilott said the plan could have discouraged clients from accessing the services they need.

"Because that information was going to be shared,
and that would have meant that potentially people are not getting the help they need and matters could get a lot worse."

The plan was first proposed by the National Government earlier this year, but faced fierce criticism and was put on hold in May.

Minister for Social Development Carmel Sepuloni called the plan dangerous and unnecessary.