The Government is being accused of overcharging New Zealand businesses by $350 million a year in ACC levies.

Labour leader Andrew Little says an independent report shows the Government is collecting an excess in levies - a move which costs the economy 700 jobs and $70 million a year.

"This is the small sort of stuff that a government could do if it cared about the small business sector and generating more jobs."

"It's not going to comprise ACC, it's actually correcting the situation that's wrong at the moment."

Little says the Government is overcharging businesses to give the appearance it is in surplus.