New Zealand Set to Regulate Online Casino Industry by 2026
The New Zealand government is set to regulate online casinos for the first time, with a new licensing framework anticipated to be in place by 2026. This regulatory approach aims to minimize harm, support tax collection, and ensure consumer protection for New Zealand players.
Key Details of the Regulatory Framework
The Minister of Internal Affairs, Brooke van Velden, revealed that unlicensed operators will be prohibited from targeting players in New Zealand.
The government will be responsible for overseeing the regulation of online casino operators within the country.
Licenses will be auctioned to a limited number of operators who meet the necessary regulatory requirements, with players required to be 18 years or older to participate.
Advertising and Operational Restrictions
Strict advertising limitations will be imposed on licensees. Online casinos will need to operate separately from other gambling products, meaning sports betting and lotteries cannot be offered alongside online casino games.
According to Van Velden, the aim is not to increase gambling activity but to ensure operators comply with consumer protection and harm minimization measures while contributing to tax revenue.
Public Feedback and Implementation Timeline
The public will have an opportunity to provide feedback on the regulatory plans during the select committee process. The government intends to finalize and launch the regulatory framework by 2026.
Industry Support and Response
SkyCity Entertainment Group, a major casino operator, has expressed its support for the new regulations.
SkyCity’s CEO, Jason Walbridge, praised the plans to limit the number of licenses and restrict advertising, emphasizing the importance of regulating online play to protect New Zealanders and retain revenue within the country. Walbridge noted that significant amounts of money currently go offshore, and proper regulation could ensure these funds benefit the local economy through taxes and community contributions.
Political and Economic Context
The move to regulate online casinos marks the first major change to gambling under New Zealand’s new government. The National Party, which won the recent election, had previously highlighted the potential revenue from offshore gambling operators.
National estimated that regulating these operators could generate NZ$179 million annually, though Labour contested these figures, citing existing GST collections from remote services.
