A New Era for the Gambling Market in New Zealand

_{New Zealand Offering 15 Licenses for online Casinos (Image: rudy1976/Alamy)}

New Zealand is entering a new era with the government poised to overhaul its online casino market having confirmed that they will issue 15 licenses for operators in 2026.

Internal Affairs Minister Brooke Van Velden made the announcement on November 13, marking a pivotal shift in New Zealand's gambling policy. 

The regulatory framework will not be in place until April 2026, but it echoes a modernising approach similar to that of the UK and US states prioritising player safety and allowing tax revenue generation.

Regulation Timeline

As far back as 2024 the idea of granting licenses for online casinos was in the making. The aim was to create a balanced framework that meets player needs while supporting economic growth. 

The decision for 15 licenses is based on recommendations aimed at minimising regulatory costs while ensuring effective oversight.

Major Operators Eager to Enter the Market

This announcement has sparked interest among leading operators in the online gaming sector, prompting them to prepare for the auction. Notable companies eyeing a New Zealand presence include:

• 888 Holdings
• Bet365
• Betway
• SkyCity
• Christchurch Casino

These entities are part of a competitive pool comprising 36 organisations, including industry giants like Flutter Entertainment and Entain.

The Future of TAB NZ

The fate of TAB NZ, New Zealand’s betting monopoly, remains uncertain in this new regulatory framework. Although TAB NZ has established itself through its existing partnership with Entain, the government has yet to confirm whether it will be permitted to apply for an online casino license. 

The decision lies with Minister for Racing, Winston Peters.

Industry insiders suggest that established land-based casinos such as SkyCity and Christchurch Casino will likely be eligible for online licenses, while TAB NZ is advocating for inclusion given its operational infrastructure.

Emphasis on Player Safety and Responsible Gambling

Emphasising player safety, Minister Van Velden clarified that the goal is not to increase online gambling but to provide a safer environment for those who choose to engage. 

Key safety measures being implemented include:

As Van Velden stated, the aim is not to promote gambling but to create a regulated and secure environment for New Zealanders.

Balancing Social and Economic Impacts

By capping the number of licenses at 15, New Zealand seeks to enhance market efficiency while maintaining regulatory oversight. This strategy aims to achieve a high channelling rate while reducing administrative burdens.

Current data indicates that top operators contribute significantly to GST revenue from online gambling, reinforcing the potential positive impact on the economy.

Socially, the new regulations are expected to substantially improve consumer protection, as currently, around 80% of New Zealanders gamble on offshore platforms.