Immigrants' older parents with $1m to invest get priority

Immigration Minister Jonathan Coleman. Photo / Dean Purcell

Wealthy older parents of settled immigrants will be given priority to retire here if they are rich enough to invest $1 million over four years.

They will have to have good health but will not need to have health insurance. As permanent residents they will be eligible for health and welfare assistance.

But in that respect they will be no different from the maximum 3440 parents already allowed to settle each year under the Family Parent Category.

The new wealthy parent applicants - who will be given priority over parents seeking family reunification - will be counted within the limits of the present family parent category.

The Government will allow another set of ageing wealthy visitors aged over 65 to live in New Zealand for two years at a time on a temporary visa if they invest $750,000 and have comprehensive health insurance.

National promised a retirement visa in its election manifesto but promised that the successful applicants would not be a drain on the health or welfare system.

Immigration Minister Jonathan Coleman said last night the policies would not be any burden to the New Zealand health system.

The numbers approved under the new parent retirement category will come out of the existing 3440 parent cap.

He said the successful applicants could well be the sort of person who takes out private health insurance.

And holders of the temporary retirement visa would have to meet their own health and welfare costs.

He did not believe that giving priority to a wealthy set of parents would create resentment among immigrants because he believed that only a few hundred would qualify each year.

"Looking at what has happened in Australia with these policies, it is not a massively high uptake but there is a small niche market where it does make a difference to people and on balance there is only potential upside for the country from it.

"You get people going to settle in some nice retirement spot in New Zealand. They inject a bit of money into the local economy and they are also bringing in investment funds as well."

The criteria will apply to the principal applicant so a couple could be approved on the basis of the $1 million or $750,000 investment.

There will be no requirement to maintain the $1 million investment after four years, but to renew the temporary visa, the applicant would have to maintain a $750,000 investment.