NZ Ends Five-Year Ban for Real Estate CPD Breaches

According to the Government, this will increase competition in the property market, provide consumers with more service options, and has received strong backing from the conveyancing sector.

New Zealand has approved changes to its occupational regulation laws that will remove a five-year disqualification for real estate agents who fail to complete continuing professional development (CPD) requirements or miss licensing fee payments, a move the Government says will create a fairer regulatory system while protecting people's ability to stay in work.

Real estate penalty removed after law change

The legislation was passed after Parliament approved the Regulatory Systems (Occupational Regulation) Amendment Bill and the Regulatory Systems (Tribunals) Amendment Bill, introducing updates across eight different Acts. Associate Justice Minister Nicole McKee said the previous rule imposed an excessive punishment on real estate professionals whose breaches were administrative rather than related to misconduct. Under the old system, failing to complete CPD requirements could prevent an agent from working in the industry for five years, a penalty she described as out of proportion compared with other regulated professions.

The Government believes the change brings the rules more closely into line with other occupations where missing professional development obligations does not automatically result in losing the ability to work for such an extended period. The amendment is expected to reduce unnecessary barriers for licensed agents while keeping professional standards in place. McKee also said she has made it clear to the Real Estate Authority that CPD programmes should remain relevant to the practical work carried out by real estate agents, ensuring mandatory training delivers meaningful value instead of becoming a compliance exercise.

Case highlighted need for reform

The issue gained public attention through the case of Janet Dickson, a real estate agent who faced the possibility of being barred from the profession for five years after deciding not to complete a compulsory CPD topic that she believed had little relevance to her work. The case sparked wider discussion about whether the existing rules struck the right balance between maintaining professional standards and imposing penalties that could severely affect a person's livelihood. By removing the automatic five-year disqualification, the Government says the law will better reflect the seriousness of the breach while avoiding outcomes that unnecessarily disrupt careers over compliance issues that are not linked to consumer harm.

The reforms also expand the role of licensed conveyancers, allowing them to undertake more conveyancing work. According to the Government, this will increase competition in the property market, provide consumers with more service options, and has received strong backing from the conveyancing sector.

Tribunal reforms strengthen consumer access to justice

Parliament also approved the Regulatory Systems (Tribunals) Amendment Bill, which introduces several changes across New Zealand's tribunal system. The key reform gives the Disputes Tribunal the authority to order unsuccessful respondents to reimburse filing fees paid by successful claimants. The Government says this will prevent people who successfully prove their case from being left out of pocket simply because they sought legal redress.

McKee said the combined reforms are intended to modernise regulation, improve fairness across professional licensing systems, and make access to justice more practical for ordinary New Zealanders. The Government views the legislation as part of its wider effort to create regulations that better match the realities of professional practice while ensuring consumers continue to receive appropriate protections.