The Retirement Villages Amendment Bill 2024 passed the Victorian Parliament on 28 May 2025.
The Bill helps current and future residents make informed choices about entering, living in, and leaving a village of their choice.
Victorians living in a retirement village will benefit from stronger protections so they can retire in comfort and with peace of mind.
The new laws will come into effect on 1 May 2026.
The reforms will:
- introduce standard contracts with clear information about entry and exit processes, ensuring prospective residents are better informed before signing
- regulate how exit entitlements are calculated, helping residents to better understand these calculations
- introduce new principles to guide the operation of retirement villages and delivery of services, with a focus on respecting the preferences and dignity of residents
- require operators to provide residents with an annual financial check of their contracts; and
- require villages to develop emergency management plans and undertake annual evacuation exercises, ensuring residents are better prepared for emergency situations.
Dispute resolution
Dispute resolution processes will be strengthened with improved procedures set up in all villages, and a new complaints and conciliation scheme set up within the Department of Government Services.
This service will be free to use and help parties reach an agreement at the earliest opportunity to reduce stress and disruption for residents.
More serious disputes, such as around termination of contracts or significant financial matters, can proceed to the Victorian Civil and Administrative Tribunal (VCAT), which will have expanded powers to hear these disputes.
Stronger regulatory oversight
Retirement villages will have new registration and annual reporting requirements, and Consumer Affairs Victoria will have enhanced powers to monitor compliance with key protections.
A mandatory Retirement Villages Code of Practice will also be developed this year, informed by consultation with the community and retirement village sector.
Commissioner for Residential Tenancies
To further support these reforms, the role of the Commissioner for Residential Tenancies will be expanded to provide independent advice to government on the retirement villages sector.
Background
The Bill was prompted by the 2019 Review of the Retirement Villages Act, which found that retirement village contracts were too complex, leaving residents with unexpected and burdensome financial obligations. It found residents felt unfairly treated, were uncertain about their rights, and suffered from ineffective dispute resolution processes.
The new legislation is the biggest change to the Retirement Villages Act since it was made law in 1986.
The reforms have been informed by extensive stakeholder feedback, with more than 500 submissions received from residents, their families, industry and consumer advocates.