Legislation proposes auction-based licensing system, robust player protections, and tough penalties for non-compliance
New Zealand is poised to regulate its online casino gambling sector for the first time, following the introduction of the Online Casino Gambling Bill by Minister of Internal Affairs Brooke van Velden. The move marks a major shift in national gambling policy, aiming to bring unregulated offshore operators under legal oversight while prioritising harm minimisation and tax accountability.
Up to 15 Licences Offered via Competitive Auction
At the heart of the bill is a licensing system capped at 15 operators, with each licence to be awarded through a formal auction process. Interested companies will be required to submit comprehensive operational plans, demonstrating their commitment to New Zealand’s gambling standards and local regulatory compliance.
These submissions will need to address areas such as:
Responsible gambling measures
Data protection and financial transparency
Tax compliance frameworks
Business continuity and player safety strategies
This merit-based structure is designed to weed out opportunistic or non-compliant firms, ensuring that only reputable operators are permitted to access the lucrative New Zealand market.
Advertising Allowed—But Strictly Controlled
One of the more notable features of the bill is that it allows licensed operators to advertise their services, albeit under strict regulatory controls. This approach aligns with international best practices, permitting visibility for compliant brands while reducing consumer exposure to potentially harmful or misleading promotions.
Conversely, unlicensed operators will face significant penalties, including fines of up to NZ$5 million ($3 million USD) for engaging in illegal advertising or accepting bets from New Zealand players.
Prioritising Harm Minimisation and Consumer Protections
The legislation puts a heavy emphasis on player safety and harm prevention. Future regulations, currently in development, will mandate:
Self-exclusion tools
Deposit and betting limits
Problem gambling referral systems
Advertising safeguards to reduce exposure to vulnerable groups
Minister van Velden reinforced this position, stating:
“The Online Casino Gambling Bill will introduce a regulatory system for online gambling in New Zealand, which will prioritise harm minimisation, consumer protection and tax collection.”
A Strategic Pivot in Gambling Oversight
Until now, New Zealand has lacked a formal regulatory framework for online casinos, resulting in millions of dollars flowing to offshore gambling sites, many of which operate with limited oversight. While Tab NZ holds a monopoly on legal sports and racing betting, online casino gambling has remained in a grey zone—neither fully legal nor effectively controlled.
This bill represents a long-awaited effort to reclaim regulatory control and channel gambling revenues back into public funds. The proposal builds on the government’s broader Online Gambling Implementation Programme, which aims to establish a safe, fair, and economically beneficial digital gambling environment.
What Comes Next?
The bill is expected to be reviewed by the select committee later this year, with public consultation to follow. The government’s timeline aims for implementation in 2026, aligning with broader reforms in gambling and consumer protection across the country.
As New Zealand looks to modernise its gambling laws, the Online Casino Gambling Bill sets the stage for a sustainable and safer digital wagering ecosystem—with significant implications for both local players and global iGaming operators.
