Cabinet Minister Nick Smith has resigned for intervening in his friend and National Party activist Bronwyn Pullar's ACC claim while he was ACC Minister last year.

Dr Smith announced his resignation in Parliament following mounting pressure from Opposition parties as speculation grew over the exact nature of his relationship with Ms Pullar who he first met in the 1990s.

Dr Smith resigned from his roles as Local Government, Environment and Climate Change minister, but will remain as MP for Nelson. He said he had tendered his resignation to the Prime Minister, who had accepted it.

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