28th of May, 2025, 5:30pm
FOR IMMEDIATE RELEASE
MP David Ettershank – who spent 20 years working in the ‘seniors’ industry – has helped shape new laws to protect people in retirement villages.
Victoria’s Retirement Act has been amended to improve the governance of retirement villages and to provide better protections for people moving into and exiting retirement villages.
“I worked in the not-for-profit retirement and aged care sector for more than 20 years, and I know it’s a complex area,” Mr Ettershank said.
“By 2046, about one in four Victorians will be aged over 60, and many of us will move into some form of retirement living. In my experience, the vast majority of retirement village operators are doing the right thing. But there are certain things that require further regulation.
“The bill is certainly a good step in the right direction, and I’m happy that my years of experience in the aged care sector allowed me to work with the government on improving the laws in this area.”
Changes to Victoria’s Retirement Act include:
- The use of standardised contracts and information, meaning potential residents can better understand and compare retirement villages
- A dedicated retirement village dispute resolution service to be run through the Department of Government Services
- Stronger protections of exit entitlements when residents leave villages and clarification of how operators can calculate and disclose fees to residents
- Informing residents of the insurance coverage the operator has taken out to protect them from disasters, including flooding and fire. Residents will also be told what is not covered by the operator’s insurance, such as accommodation costs
- A definition of what constitutes ‘a vacant property that was ready for resale’
- Extending the cooling-off period for entering a residence contract from three to seven business days
- Altering the quorum requirements for a meeting of residents in a village: for larger villages of 40 residents or more, 25 per cent of residents are needed to form a quorum; for smaller villages of less than 40 but more than 20, 10 residents are required, and for villages with fewer than 20 residents, half of the residents are required
- Villages will be required to develop mandatory emergency plans and to report to residents annually on the plan.
Growing number of seniors live in lifestyle villages and need rights protection
Mr Ettershank said he knows there’s a growing number of retired Victorians living in lifestyle villages or caravan parks.
“They are becoming a common alternative for retired persons, particularly those with less means,” Mr Ettershank said. “But these facilities are more vulnerable to extreme weather events like floods and bushfires.
“Moreover, the legal rights of residents in lifestyle villages are, at best, ambiguous and desperately require reform.
“There is a bit of a legal vacuum around residential tenancy parks. They are not covered by Victoria’s Residential Tenancies Act, and they are not fully covered by Caravan Parks and Movable Dwellings Registration and Standards Regulations.
“I’ve raised this matter with the government. I’d like to see the laws amended so that these residents have similar rights to security of tenure and consumer protection as people living in retirement villages. We have been assured that the Victorian government will pursue this, and hopefully, we will see some changes this year.
“I look forward to seeing how the government proposes to protect the rights of these senior residents.”
[Ends]
