New Zealand’s plan to regulate online casino gambling moved closer to reality this week after lawmakers approved the Online Casino Gambling Bill at its third and final reading. The measure will now proceed to Royal Assent and is expected to become law in May, marking a step toward launching a regulated market in 2027.
The legislation, led by Internal Affairs Minister Brooke van Velden, introduces a licensing system alongside tax obligations and consumer safeguards. Authorities aim to bring online casino operators under a framework aligned with other domestic businesses.
Licensing Rollout And Compliance Framework
The bill sets a limit of 15 licences, which will be granted through a competitive process overseen by the Department of Internal Affairs. A revised schedule published in March 2026 outlines that applications will open in July, with submissions closing on 1 December 2026.
Licensed operators must meet strict compliance standards covering financial and operational oversight.
“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,” van Velden said in a government update on Thursday.
Interest in the licences has already emerged. Entain signaled in March that it is considering applying for three of the available permits. During its FY25 earnings call, CEO Stella David pointed to the company’s existing TAB brand presence in New Zealand, noting it could integrate sports betting with online casino offerings.
The government also plans to direct a portion of gross gaming revenue toward community initiatives. Cabinet discussions from November indicated that about 4% of operator revenue could be allocated to local sports clubs and grassroots organisations. Early projections suggest this could generate between NZ$10 million and NZ$20 million in the first year if operations begin on 1 January 2027, though delays remain possible after an earlier 2026 launch target was postponed.
Expanded Enforcement And Offshore Reach
A central element of the bill lies in its enforcement provisions, which extend beyond domestic operators. The legislation applies to any online casino service accessible within New Zealand, regardless of where the company is based.
Regulators will have a broader set of tools to address violations, including issuing take-down notices, formal warnings, and enforceable undertakings. Financial penalties for serious or repeated breaches can reach up to NZ$5 million.
Operators that fail to apply for a licence before the December 2026 deadline will be required to cease offering services to New Zealand users. They will also face the same penalty cap for non-compliance, reinforcing the government’s effort to close gaps previously used by offshore providers.
Concerns Over Timing And Regulatory Detail
The bill passed its first reading by 83 votesto 39 before committee review in 2025, but some industry figures and legal experts have raised concerns about the pace of implementation and limited consultation time for detailed rules.
The legislation comes alongside broader changes in the gambling sector. Separately,greyhound racing is moving toward a government-mandated shutdown expected by August, following earlier parliamentary action tied to animal welfare concerns.
Source:
“New Zealand iGaming bill passes final parliament reading”, igamingbusiness.com, April 23, 2026
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