RETIREMENT village operators will be forced to be more upfront about contract terms and exit fees under a new “mandatory” code of conduct.
The NSW government will also appoint a “Retirement Village Ambassador” to speak on behalf of senior residents under sweeping reforms to stamp out shady businesses.
The proposed changes follow an inquiry into the state’s retirement villages led by former City of Sydney councillor Kathryn Greiner AO.
Better Regulation Minister Matt Kean yesterday said the government would move to immediately implement most of the 17 recommendations in the “Greiner Report”.
“Our package includes a mandatory code of conduct for us to crack down on unscrupulous behaviour in the retirement village sector,” Mr Kean said, adding the Department of Fair Trading would be given “real teeth” to penalise those who flouted the code. “We’ll also be requiring operators to improve transparency, particularly around fees and charges and key contract terms — that includes exit fees.
“We’ll also be increasing and improving dispute resolution, so residents should only have to go to the tribunal as a very last resort.”
Mr Kean said it wasn’t acceptable that senior residents required a team of barristers to understand “overly complex” retirement village contracts.
The minister also said he was particularly worried about operators unfairly shifting costs to residents and hidden fees and charges. He said a cost schedule would be introduced to stipulate which should be paid by residents and which by operators.
“I don’t want to see residents in this state being taken for a ride … and I don’t want people that go to one village getting a poorer standard of care or quality outcome than other residents,” he said.
The article by Danielle Le Messurier can be read on The Daily Telegraph
