KEY POINTS:
The Labour Party supports controversial changes to election advertising and spending rules, but has also conceded that one part of the legislation goes too far and needs to be reworked.
Labour's Mike Smith appeared before a select committee yesterday to support the Electoral Finance Bill, which has drawn fierce criticism from the National Party and from several interest groups which fear it will reduce their freedom of speech.
Mr Smith was asked whether he felt the bill stifled free speech.
"If it's amended in the form that we've submitted, I don't see it stifling free speech at all - quite the opposite," Mr Smith said. "I think there is a need for amendment around the definition of advertisement, it seems to me it is drawn too widely."
The definition is set to be narrowed by the select committee so that it does not catch such a wide range of material, and Prime Minister Helen Clark has indicated she favours such a move.
Outside that change, the Labour Party strongly supports the bill, including its contentious proposal to cap qualifying expenditure by third parties on advertising in an election year to $60,000.
