The government has announced new laws for retirement villages’ putting a time limit on paying exit entitlements.

The changes will mean retirement villages have to pay the money within 12 months of a person vacating the property.

Commerce Minister Sue Ellery told Oliver Peterson on Perth Live people can be owed hundreds of thousands of dollars.

“This is a very long time coming,” said Ms Ellery.

“We all know somebody who has had not such a great time in some retirement villages… it is about making it much better for consumers.”

Press PLAY below to hear what the changes will mean