Te Aroturuki me ngā Pūrongo Monitoring and reports

In 2023, the Ministry of Housing and Urban Development, working in partnership with the retirement sector, began a review of the Retirement Villages Act. The Government is reviewing the Retirement Villages Act to ensure residents are well-protected while keeping villages sustainable.

The Retirement Commissioner first prompted calls for a review of the legislation following the release of a white paper published in 2020 and the response in 2021 to submissions it received. The then Associate Minister of Housing and Ministry of Housing and Urban Development accepted the recommendation that a full review was necessary and overdue. The Ministry subsequently issued a discussion paper in 2023, which received more than 11,000 submissions.

The Government has announced a broad package of reforms covering three phases of retirement village living: moving-in, living-in and moving out. The changes aim to strengthen consumer protections, balance rights and responsibilities, and support housing options for New Zealand's growing older population. More information about the changes is on the Ministry of Housing and Urban Development's website.

Moving in

• Improve transparency and disclosure: Legal documents will be made more user-friendly and accessible. Operators must publish current disclosure statements online and strengthen obligations to ensure information is not misleading or deceptive.
• Unfair contract terms: New regulations will prohibit certain terms in occupation right agreements, protecting residents from unfair contractual practices.

Living in

• Chattels and fixtures: Operators will be responsible for the maintenance, repair, and replacement of operator-owned chattels and fixtures, providing residents with certainty and fairness.
• Dispute resolution: A new, independent, and user-friendly dispute resolution scheme will be established, to simplify and streamline disputes processes.

Moving out

• Fairer exit process: Operators will be required to repay residents' net termination proceeds within a 12-month statutory timeframe, with interest payable after six months. An application scheme will allow early release of funds for residents with specific needs, such as moving into aged care. The application scheme, interest payments, and mandatory repayment timeframe will only apply to ORAs signed one year after the new Act is passed.
• Weekly fees and deductions: will stop accruing immediately after a resident vacates their unit, aligning with best practice and ensuring fairness.

The proposed Retirement Villages Amendment Bill is expected to be introduced into Parliament by mid-2026, with further opportunities for public input at the select committee stage.

An independent monitoring programme began in 2008, with reports on the following focus areas:

• 2024-25 Retirement Villages Complaints and Disputes Resolution Scheme: Report and Scheme Recommendation
• 2023-24 Retirement Villages: International Scan of Operating Models
• 2022-23 The experience of residents and their whānau
  when a resident moves on from (or within) a retirement village
• 2021-22: Occupation Right Agreement
• 2020-21: Retirement Villages Legislative Framework
• 2019-20: Operator financial assistance to residents
• 2018-19: The interface of Retirement Villages and Aged Care
• 2017–18: The effectiveness of statutory supervision
• 2016–17: The effectiveness of independent legal advice
• 2014–15: The disputes process
• 2011: Residents
• 2010: Owner-operators
• 2009: Statutory supervisors

Monitoring reports are available here.

Since 1 April 2017 the Commissioner receives six-monthly reports from operators of all registered retirement villages about any formal complaints they have received in the preceding six-month period. Te Ara Ahunga Ora Retirement Commission collects this information as part of its monitoring function under the Retirement Villages Act. 

Each operator reports about the number of formal complaints during the six-month period, classification, resolution rate and information about the outcome. The operator also reports how many formal complaints were referred to either a statutory supervisor or mediator.

The Commissioner uses this information to monitor trends and any concerns or issues in the industry and to inform the minister. Te Ara Ahunga Ora publishes a summary of the information received but does not publish the identity of any complainant or village involved in a complaint.