NSW Labor is calling on the Government to provide an explanation for changes to retirement village exit entitlements in the Central Coast and Lake Macquarie.

The Berejiklian Government committed to introducing time limits on when retirement villages can charge for general services and when they must sell or buy back a unit after departure of a resident at the 2019 State Election.

The Central Coast and Lake Macquarie areas were initially included within the greater metropolitan area which meant exiting residents would be paid their exit entitlements by the operator within 6 months. However, new legislation in 2021 means these areas are now considered regional and payments are not due for 12 months.

During recent Budget Estimates, the Minister for Better Regulation and Innovation wiped his hands of responsibility for changes to retirement village exit entitlements.

Shadow Minister for Consumer Protection Julia Finn, the Member for Charlestown Jodie Harrison and the Member for the Entrance David Mehan met with residents and staff at the Eleebana Shores Retirement Village today to discuss the changes and their concerns.

Shadow Minister for Consumer Protection Julia Finn said the 8805 residents of 43 retirement villages on the Central Coast and 4200 residents in 51 villages in Lake Macquarie have been let down by this Government.

Retirement village residents have long faced unreasonable delays to receive exit entitlement money before their unit sells but recent changes were made to the law to ensure exit entitlements are paid within defined period of time, Ms Finn said.

And now the Government has snatched defeat from the jaws of victory. Just when people on the Central Coast and Lake Macquarie thought they would be able to be paid their exit entitlements by the operator within six months the Government has let them down by blowing out the timeframe to twelve months.

Blaming administrative or bureaucratic inertia is not the way to make decisions such as this.

Today NSW Labor is calling on the Liberal Government to revisit these regulations and remake them so that they are fairer to retirement village residents.

Member for Charlestown Jodie Harrison said she had been contacted by many residents living in retirement villages who are upset and angry about the last minute changes.

Residents leaving retirement villages in Lake Macquarie shouldnt have to wait twice as long to be paid as other people in the same situation in Newcastle, Ms Harrison said.

It doesnt make sense that residents of places like Eleebana, on the shores of beautiful Lake Macquarie, are treated differently to people less than 10kilometres away in Newcastle local government area.



State Member for The Entrance David Mehan said he too had been contacted by many concerned constituents residing in retirement villages in his electorate.



My office has been inundated with residents furious that they will have to wait six months longer than first proposed, Mr Mehan said.



They were lead to believe they would be treated the same as people in Sydney but the government has left them behind and are making them wait six months longer to be paid their exit entitlements.