On 30 June 2025, the Government introduced the Online Casino Gambling Bill (Bill), marking a significant shift in New Zealand’s approach to remote gambling regulation. The Bill proposes a framework for licensing and regulating online casino gambling operators within New Zealand, which has previously been prohibited under the Gambling Act 2003 (Gambling Act).

Under the current law, “remote interactive gambling” hosted by operators within New Zealand is illegal. However, the Gambling Act does not prohibit New Zealanders from accessing offshore gambling websites. The new Bill seeks to close this regulatory gap by establishing a controlled licensing regime for domestic online casino operations. This enables gambling revenue to be brought back into New Zealand under a regulated framework which allows for local oversight and better consumer protections. 

You can read the Bill in full here. 

Key points

Licensing framework

The Bill proposes an initial issuance of up to 15 licences for online casino gambling operators during the first regulatory period between 2026 to 2029. Licences will be granted for an initial term of three years, with the possibility of renewal for up to five years. To prevent anti-competitive behaviour, licences must be activated within 90 days of issuance, and unused licences may be suspended or cancelled by the Regulator.

Each licence will be tied to a specific brand, website, or platform, with operators restricted to holding no more than three licences in total. Licences will be non-transferable, and any change in brand ownership or structure will trigger a reassessment by the Regulator.

The scope of regulated activities includes online casino games such as slot machines, table games, and peer-to-peer games like poker. Sports betting and racing are excluded unless conducted virtually and based on chance. Access to licensed platforms will be restricted to individuals aged 18 and over, with operators required to implement robust identity and age verification systems.

Entry and application process

The licensing process will follow a three-stage model:

1. Expression of interest: The Secretary for Internal Affairs will invite public expressions of interest, which must include detailed applicant information, compliance history, and financial capacity. Applications that may harm New Zealand’s international reputation will be excluded.
2. Competitive process: Accepted applicants will participate in a competitive process to determine eligibility and licence fees. The Secretary will notify successful participants of their right to apply and the associated costs.
3. Licence application: Final applications must include strategies for advertising, consumer protection, harm minimisation, and compliance. Licences will only be granted if the applicant meets suitability criteria. The Secretary will not grant a licence where grant would result in more than 15 licences being held at any time or the applicant having significant influence over more than three licences. Similarly, the Secretary will not grant a licence if the applicant is likely to be in competition with a protected New Zealand lottery.

Advertising and promotion

Licensed operators will be permitted to advertise subject to strict conditions. These include:

• A statutory obligation to protect children from harm or exploitation.
• Submission of a detailed advertising and marketing strategy during the licence application process.
• Compliance with regulations governing advertising, sponsorship, and promotional activities, including prohibitions on targeting minors.

Fees, compliance and penalties

To support a fair and sustainable market, the Government has agreed that for the first three years of the regime, licence fees will be set as a fixed percentage of a brand’s gross gambling revenue originating from New Zealand. This is intended to level the playing field during the initial phase. The Regulator will retain discretion to set fees either as a fixed percentage or a flat fee, depending on market conditions. Initial guidance suggests the fixed percentage will be 12%.

The Bill introduces significant penalties for non-compliance with the Bill or subsequent regulations, including up to NZD5 million for breaches for:

• Operating without a licence.
• Allowing underage gambling.
• Failing to comply with licence conditions.
• Failing to maintain accurate records or update entry information.
• Making material changes to a licenced brand, website or platform without approval.
• Non-compliant advertising, sponsorship, or promotion.
• Failing to display a registration icon on websites and advertisements.

Who should take an interest?

With only 15 licences available during the initial regulatory period, early engagement and strategic planning will be critical to securing market entry. Prospective operators, technology providers, and investors should closely monitor the Bill’s progress and prepare for the competitive licensing process. 

Consumer protection groups and advertising agencies may also wish to engage, given the Bill’s emphasis on harm minimisation and responsible marketing.

Next steps

Regulations are currently being drafted to detail the specific standards for advertising and harm minimisation that operators must abide by.

The Bill is expected to undergo its First Reading shortly. If it passes, it will proceed to Select Committee later this year, where it will receive public submissions. If passed, the new licensing regime is proposed to come into effect in early 2026.

If you’d like to understand more about the Bill, or would like assistance submitting to the Select Committee, please contact one of our experts below.

This article was co-authored by Grace Chen, Intern and Thomas Anderson, Solicitor from our Corporate and Commercial team.