New Zealand Unveils Landmark Bill to Regulate Online Casinos

By / 02.07.2025
Parliament building, casino chips, playing cards.

New Zealand is poised to revolutionize its online gambling landscape with the introduction of the Online Casino Gambling Bill. This landmark legislation aims to establish a regulated market, prioritizing consumer protection, harm minimization, and tax collection. The bill proposes a structured licensing regime, with up to 15 online casino licenses to be auctioned, marking a significant shift from the current unregulated environment.

New Era for Online Gambling in New Zealand

The Online Casino Gambling Bill, introduced to Parliament by Minister of Internal Affairs Brooke van Velden on June 30, signals a formal move to regulate New Zealand’s online gambling sector. Currently, New Zealanders can access offshore casino platforms without domestic oversight, leading to a ‘grey market’ that lacks consumer safeguards and tax contributions. The new bill seeks to rectify this by creating a regulated system that ensures public funds benefit from gambling revenue and robust protections are in place for players.

Licensing and Regulatory Framework

The proposed legislation outlines a comprehensive three-step licensing process:

  1. Expression of Interest: The Secretary for Internal Affairs will invite expressions of interest, requiring detailed submissions on compliance history and capital.
  2. Competitive Process: Accepted expressions of interest will proceed to a competitive process (e.g., auction or tender) to determine who can apply for a license and its cost.
  3. Formal Application: Successful candidates will then submit formal applications, detailing their strategies for advertising, consumer protection, harm prevention, and compliance.

Up to 15 non-transferable licenses will be issued, each valid for three years with a one-time renewal option for up to five additional years. The Department of Internal Affairs will serve as the primary regulatory authority, overseeing licensing, enforcement, and maintaining a public operator registry.

Consumer Protection and Enforcement

The bill places a strong emphasis on consumer protection and harm minimization. Licensed operators will be required to:

  • Implement strict age verification processes.
  • Exclude problem gamblers.
  • Establish robust complaints systems.
  • Display visible registration icons and audio cues on their platforms.

Advertising by licensed operators will be permitted but subject to strict, yet-to-be-finalized regulations. Unlicensed operators face severe penalties, including fines of up to NZ$5 million. Individuals or corporations breaching compliance rules could face civil penalties of up to NZ$300,000 and NZ$5 million, respectively. A specific offense targeting those who facilitate gambling for minors carries a criminal fine of up to NZ$10,000.

Transition Period and Future Outlook

A transition period will allow currently operating platforms to continue until the end of 2026, provided they apply for a license by July 1, 2026. All unlicensed operations will be fully prohibited as of December 31, 2026. The bill also prevents licensees from offering products that closely resemble existing national lottery games, preserving the integrity of those services.

This legislation complements recent amendments to the Racing Industry Act 2020, which reinforce TAB New Zealand’s exclusive rights to online racing and sports betting, further tightening the country’s gambling controls and aiming to retain revenue within New Zealand.

Key Takeaways

  • New Zealand is moving to regulate its online casino market with a new bill.
  • Up to 15 online casino licenses will be issued through a competitive process.
  • The legislation prioritizes harm minimization, consumer protection, and tax collection.
  • Strict penalties are in place for unlicensed operators and non-compliance.
  • A transition period allows existing operators to apply for licenses until late 2026.

Sources

Scroll to Top