New Zealand’s permanent residence system could face a major overhaul under a new immigration policy announced by the ACT Party. The proposal would remove the existing Permanent Resident Visa and require future residents to maintain a continuing physical connection with New Zealand if they want to keep unrestricted travel rights.
Under the plan, Resident Visa holders would receive travel conditions lasting five years instead of the usual initial two-year period. To retain the right to leave and return as a resident, they would need to spend at least 730 days in New Zealand during every rolling five-year period.
The 730 days would not have to be continuous. However, residents who spend long periods overseas could find it harder to preserve their right to re-enter New Zealand.
The proposal was announced on 1 September 2026 by ACT immigration spokesperson Dr Parmjeet Parmar. It is important to understand that this is a political proposal and not a rule currently being applied by Immigration New Zealand.
Main Changes
| Policy area | Present system | ACT proposal |
| Permanent residence | A separate Permanent Resident Visa is available | Permanent Resident Visa category would be removed |
| Initial travel rights | Most Resident Visas carry travel conditions for up to two years | Residents would receive a five-year travel facility |
| Ongoing travel | Permanent residents can travel indefinitely | Residents would need 730 days in New Zealand during each rolling five-year period |
| Continuous stay | Current presence requirements depend on the chosen commitment test | The proposed 730 days would not need to be continuous |
| Existing permanent residents | Hold unrestricted permanent travel rights | Existing Permanent Resident Visa holders would not be affected |
| Investor category | Special residence conditions apply | Active Investor Plus Visa holders would remain exempt |
Current Rules
New Zealand currently makes an important distinction between a Resident Visa and a Permanent Resident Visa.
A Resident Visa generally allows a person to live, work and study in New Zealand indefinitely. However, the visa’s travel conditions usually permit overseas travel and re-entry only for a limited period, commonly two years.
After holding residence for at least two years, a person may apply for a Permanent Resident Visa if all relevant requirements have been met. Applicants must also demonstrate their commitment to New Zealand in one of five recognised ways.
One option is to have spent at least 184 days in New Zealand during each of the previous two years. Other routes may involve tax residence, investment, owning a business or establishing a base in the country.
Once granted, the Permanent Resident Visa has no travel conditions. Its holder can leave and return to New Zealand indefinitely, provided the visa remains linked to a valid passport.
ACT’s Plan
ACT wants to replace the two-stage arrangement with a continuing residence test. The separate Permanent Resident Visa category would disappear. Instead, Resident Visa holders would receive travel rights for five years. Those wishing to keep those rights would have to show that they had spent 730 days—equal to two years—inside New Zealand during the relevant rolling five-year period.
A rolling period is different from a one-time qualifying period. A resident would need to maintain the required connection as each five-year window moved forward.
This could provide greater flexibility for people whose work or family responsibilities require regular overseas travel, because the 730 days would not have to be completed in one continuous period. At the same time, it would create an ongoing obligation that does not exist for holders of the present Permanent Resident Visa.
Travel Rights
The proposed policy is mainly concerned with the right to leave New Zealand and return as a resident.
ACT’s announcement does not say that a person who misses the 730-day requirement would automatically be removed from New Zealand or immediately lose every residence right. It says that meeting the physical-presence test would be necessary to maintain the travel facility.
This distinction matters. Under the current system, a Resident Visa holder can normally remain in New Zealand indefinitely, but travelling after the visa’s travel conditions expire can create serious problems. If the person is outside New Zealand when those conditions expire, the Resident Visa may also expire.
The detailed consequences of failing ACT’s proposed residence test would therefore need to be explained in legislation and formal immigration instructions before migrants could properly assess the risk.
Planned Exemptions
ACT has proposed several exemptions for people who may have a genuine reason to remain outside the country.
These would cover:
- People working overseas for a New Zealand employer
- Family members accompanying an exempt person
- New Zealand military personnel serving abroad
- Residents whose spouse is a New Zealand citizen
- People facing compelling humanitarian circumstances
- Active Investor Plus Visa holders
The investor exemption means participants in New Zealand’s “Golden Visa” programme would not face the same 730-day physical-presence requirement.
Existing Holders
ACT says the policy would not operate retrospectively and that people who already hold a Permanent Resident Visa would be protected.
Those existing permanent residents would therefore keep their present status and indefinite travel rights.
The position of people who currently hold a Resident Visa but have not yet obtained permanent residence is less clearly described in the announcement. Before any change takes effect, the government would need to publish transitional rules explaining whether those residents would remain under the current system or move to the proposed five-year arrangement.
Until such rules are released, current visa holders should not assume that their status has changed.
Migrant Impact
If implemented, the proposal would affect future migrants who expect to obtain residence in New Zealand while continuing to spend much of their time abroad.
A person could still travel for employment, business or family reasons, but would need to count days carefully. Frequent absences extending over several years could eventually place the person’s return rights at risk.
Families could also be affected differently depending on whether each member must independently satisfy the physical-presence test. ACT’s short announcement does not provide enough detail about dependent partners and children, so this would require clarification.
For migrants genuinely making New Zealand their main home, 730 days across five years may be manageable. For internationally mobile professionals, business owners and families divided between countries, it could become an important part of long-term planning.
Citizenship Path
ACT argues that its proposal would establish a clearer difference between residence and New Zealand citizenship.
Under the present system, permanent residents enjoy many of the everyday rights available to citizens, although there remain important legal differences. ACT believes continuing travel conditions would encourage eligible migrants to move towards citizenship rather than retain permanent residence while living mainly overseas.
Most people may become eligible to apply for New Zealand citizenship after living in the country as residents for five years, provided they meet the presence, character, language and intention requirements. A Permanent Resident Visa is not normally required before applying for citizenship.
Political Proposal
The announcement should not be mistaken for an immediate change to New Zealand immigration law. ACT has presented the policy, but legislation, coalition agreement and detailed immigration instructions would still be required before it could be implemented.
Important questions also remain unanswered, including how the rolling period would be calculated, what evidence residents would provide, how often travel facilities would be renewed and what appeal rights would be available.
For now, migrants should continue following the existing Immigration New Zealand rules. However, anyone planning permanent residence while spending long periods abroad should watch this proposal closely, because it could substantially change the value and security of New Zealand residence in the future.