New Zealand has passed its Online Casino Gambling Bill at the third and final reading in Parliament, moving closer to launching a regulated online casino market with up to 15 operator licences.
The legislation, led by Internal Affairs Minister Brooke van Velden, will now proceed to Royal Assent, expected on 1 May. It aims to close a long-standing gap in the Gambling Act 2003, which previously allowed offshore operators to serve local players without licensing or taxation obligations.
Van Velden said:
The Bill…supports the coalition agreement by closing the gambling tax loophole and requiring licensed online casino operators to pay tax, just like any other business operating in New Zealand.
Under the new framework, the Department of Internal Affairs will oversee a competitive process to award up to 15 licences. This will include expressions of interest, a selection stage such as an auction or tender, and final applications. Operators must meet strict requirements on ownership transparency, compliance, and player protection. Licences will initially be valid for three years.
Van Velden added: “Under the new framework, up to 15 licences will be available through a competitive process. Licensed operators will be required to exclude problem gamblers and meet strict harm prevention and consumer protection requirements.”
The licensing process is expected to begin in July 2026, with applications due by 1 December and successful operators projected to go live by 1 July 2027. Operators that fail to apply by the deadline must exit the market.
A key feature of the law is its extraterritorial scope, meaning it will apply to all online casino services offered to New Zealand users, regardless of where the operator is based.
Van Velden said:
These tools will ensure that New Zealand law applies to all online casino gambling available in New Zealand, regardless of where operators are located, closing off avenues for avoidance and strengthening the regulator’s ability to monitor and enforce compliance by international operators.
The bill also introduces stronger enforcement powers, including take-down notices, fines of up to NZ$5 million for serious breaches, and bans on credit-based gambling. Operators must verify users are at least 18, implement player protection measures, and maintain formal complaint systems.
Additionally, the legislation includes provisions to allocate a portion of gambling revenue to community initiatives such as sports clubs and grassroots organisations.
Major operators are already preparing for the upcoming licensing race, including Entain and SkyCity Entertainment Group, as the country moves toward establishing its first fully regulated online casino market.
