On June 30, 2025, Minister of Internal Affairs Brooke van Velden introduced the Online Casino Gambling Bill, setting the stage for a significant shift in the country’s approach to online casino regulation. The bill, which aims to regulate an industry that has long operated in a grey market, seeks to establish a robust framework focused on consumer protection, harm minimisation, and tax revenue generation.
Currently, New Zealanders have been able to access offshore online casino platforms with little oversight. This has created a market that not only lacks consumer safeguards but also fails to contribute to the country’s economy in the form of taxation or funding for harm prevention initiatives. The new bill aims to address these gaps by regulating the sector and placing New Zealanders’ interests at the forefront.
The government plans to auction up to 15 licenses for online casino operators, ensuring that only well-prepared and responsible entities are allowed to enter the market. Applicants will be required to present detailed operational plans to a national regulator, with licenses available for three years, and the possibility of a one-time five-year renewal.
The bill also establishes penalties for unlicensed operators, including fines up to NZ$5 million for those targeting New Zealand’s market without authorization. Operators must adhere to strict harm minimisation standards, with specific regulations on advertising and age restrictions.
Key Features of the Bill: Licensing and Enforcement
The proposed three-tier licensing system will involve expressions of interest, a competitive bidding process, and final approval from the Department of Internal Affairs. Once licensed, operators will be able to advertise in New Zealand, though advertising regulations are still being finalised. Importantly, unlicensed operators will face significant penalties, including civil fines up to NZ$5 million for corporate violators, with the possibility of criminal charges for those facilitating underage gambling.
Licensing will be granted only to operators who can meet high operational standards and demonstrate compliance with New Zealand’s stringent harm minimisation policies. As part of the licensing requirements, operators will be required to integrate key consumer protection tools, including age verification, self-exclusion options, and problem gambling identification systems.
The regulatory framework also requires quarterly reporting from operators and mandates that they operate at least 270 days per year. In addition, detailed user data will be kept to ensure compliance with anti-money laundering (AML) requirements.
Consumer Protection: Safeguarding New Zealanders’ Well-Being
One of the central aims of the bill is to provide robust consumer protection for New Zealand players. Operators will be required to implement safeguards such as audio cues for problem gambling and maintain a public register of licensees. The Department of Internal Affairs will be responsible for enforcement, including issuing warnings, takedown notices, and enforceable undertakings for non-compliance.
Operators will also be restricted from offering gambling credit, and only those over 18 will be allowed to use the platforms. The bill’s comprehensive approach ensures that the focus is not just on market regulation but also on supporting safe gambling practices.
Related Reforms to Strengthen the Gambling Landscape
In tandem with the introduction of the Online Casino Gambling Bill, the government has already taken steps to strengthen the regulation of New Zealand’s sports betting market. Amendments to the Racing Industry Act 2020 have been passed, now prohibiting offshore operators from offering wagering services to New Zealand residents without a license.
This move strengthens the legislative net around TAB NZ (New Zealand’s state-owned sports betting provider), which now holds exclusive rights to online sports betting and land-based racing. The shift is expected to keep gambling revenue within the country, boosting the long-term financial sustainability of New Zealand’s racing and sports betting sectors, which have faced mounting financial pressures in recent years.
As part of this broader effort, Entain Australia, a key partner of TAB NZ, is set to contribute NZ$100 million to TAB NZ upon the implementation of the reforms. This substantial payment represents a significant milestone in the commercialisation of New Zealand’s betting infrastructure, showcasing the government’s commitment to aligning public policy with financial incentives.
Next Steps: Bill Review and Implementation Timeline
The Online Casino Gambling Bill will now proceed to the select committee stage, where public submissions will be invited. The bill will be reviewed and debated further before moving forward.
The implementation timeline is clear: the bill is set to come into effect following Royal Assent, and unlicensed operators will have until December 31, 2026, to cease operations. Current operators who wish to continue operating after that date must apply for a license, although they will be prohibited from advertising until the new regulations are fully implemented.
This regulatory overhaul comes after Grand View Research predicted that New Zealand’s online casino market could generate up to US$584.5 million in revenue by 2030. With the introduction of the Online Casino Gambling Bill, New Zealand is preparing to take control of a previously unregulated market, ensuring that both players and the government benefit from a safe, transparent, and financially sustainable gambling environment.
Source:
New Zealand introduces online casino bill, LCB.org, July 1, 2025.
