“New Zealand to Regulate Online Gambling By 2026”
For the first time in its history, New Zealand is preparing to regulate online casinos, with plans to implement a licensing framework set to take effect in 2026. This move aims to protect players, minimise gambling-related harm, and generate tax revenue.
Brooke van Velden, Minister of Internal Affairs, has announced that it will be illegal for online operators without a licence to target New Zealand players. Currently, offshore casino brands are not prohibited from offering their gambling products in New Zealand. Even though the plans are currently under development, Van Velden confirmed that her ministry will oversee the regulation of online gambling providers in the country.
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“Limited Number Of Licences”
New Zealand plans to issue a limited number of licences for online gambling through an auction process, with potential operators required to comply with strict regulatory requirements. Licensed online casinos will be permitted to offer gambling services to players aged 18 and over. There will also be stringent restrictions on advertising by licence holders. Whilst advertising won’t be entirely banned, online casino ads are considered a high risk product amongst the different online gambling products. This means that sports betting and lotteries cannot be offered alongside online casino games. These plans are still open for public consultation, allowing stakeholders to provide feedback on the proposed regulations.
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Industry Reactions and Support
Industry responses to the government’s plans have already emerged, with SkyCity Entertainment Group expressing support. CEO Jason Walbridge welcomed the regulation of local online casinos, highlighting the importance of reducing harm and protecting local players. He emphasised that limiting advertising and the number of operators is a positive approach. Walbridge also noted that significant amounts of money currently flow overseas, which could otherwise contribute to taxes and community benefits in New Zealand.
Make Sure To Read: Our Online Casino Reviews and our SkyCity review.
Revenue From OffShore Gambling
If New Zealand goes ahead with its plan to regulate online casinos, it will represent a major policy shift under the current government. The National Party has been a strong proponent of capturing revenue from offshore gambling, projecting that this could bring in an additional NZ$179 million annually. They also raised concerns about the substantial amounts of Goods and Services Tax (GST) that remain uncollected from the black market. Labour, on the other hand, has challenged these figures, pointing out that GST from offshore services has been contributing approximately $40 million per year since 2016.
The move to regulate online gambling is part of a broader initiative to update and refine New Zealand online gambling sector, ensuring better oversight, player protection, and economic benefits for the country. This strategic shift is expected to bring more control and structure to an industry that has largely operated without stringent regulations.
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Reforms For Tab NZ
Moreover, New Zealand’s horse racing industry has already undergone significant changes, with TAB New Zealand assuming control in 2020. Faced with rising costs and financial constraints, the organisation sought an external partner, eventually collaborating with Entain to deliver wagering and broadcast services. Tab NZ has been under scrutiny for some time due to disappointing business results. Recently, Tab NZ announced an agreement to collaborate with the British iGaming operator Entain Plc to strengthen the company’s position with a focus on betting and broadcasting activities.
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