The New Zealand government is poised to introduce its first-ever regulatory framework for online casinos, set to be implemented by 2026. This initiative aims to minimize harm, support tax collection, and ensure robust consumer protections for New Zealand players. The government’s strategy represents a significant shift in the country’s approach to online gambling, marking a proactive step towards a safer and more regulated gambling environment.
Minister of Internal Affairs Brooke van Velden announced that it would soon be illegal for unlicensed operators to target New Zealand players. This regulation is a critical component of the government’s plan to safeguard its citizens while ensuring that the benefits of the gambling industry, such as tax revenues, stay within the country. By 2026, a comprehensive licensing framework will be in place, ensuring that only approved operators can offer their services to New Zealand residents.
Licenses for online casinos will be issued via auction, with strict regulatory requirements for bidders. The limited number of licenses will ensure a controlled market, focusing on quality over quantity. To participate, operators must meet rigorous standards, and all players must be 18 years or older. The auction system not only promotes fairness but also ensures that only the most responsible operators are granted the opportunity to serve New Zealand’s online gambling market.
Advertising for these licensed operators will be tightly regulated. Strict advertising limits will be imposed to prevent overexposure to gambling-related content. Additionally, online casinos will need to be distinctly separate from other gambling products such as sports betting and lotteries. This clear delineation helps prevent cross-gambling and ensures that players are not inadvertently drawn into other forms of gambling.
Minister van Velden emphasized that the goal is not to increase the amount of gambling but to ensure that all operators adhere to stringent consumer protection and harm minimization standards while contributing to the national tax base. This balanced approach aims to protect the community while harnessing the economic benefits of a regulated online casino market.
Public feedback will play a vital role in the development of this regulatory framework. The Select Committee process will allow New Zealanders to voice their opinions and provide valuable insights, ensuring that the final regulations reflect the community’s needs and concerns. This inclusive approach ensures that the regulations will be robust, fair, and effective in achieving the government’s objectives.
The market response to these regulatory plans has been overwhelmingly positive. SkyCity Entertainment Group, a major casino operator, has already expressed its support. The company emphasized the importance of strong host responsibility and the delivery of community benefits. Jason Walbridge, CEO of SkyCity, praised the government’s decision to restrict the number of licenses and limit advertising, highlighting the potential for these measures to minimize harm and keep gambling revenues within New Zealand.
Walbridge noted that substantial amounts of money currently flow offshore, depriving New Zealand of potential tax revenue and community benefits. He expressed hope that the new framework would address this issue effectively. By keeping gambling revenues within the country, the government can ensure that the economic benefits of online gambling support local communities and public services.
In conclusion, New Zealand’s forthcoming regulatory framework for online casinos represents a landmark development in the country’s approach to gambling. With a focus on harm minimization, consumer protection, and tax collection, this initiative promises to create a safer, more controlled online gambling environment. As the government finalizes its plans and seeks public input, the support from major industry players like SkyCity underscores the framework’s potential for success. By 2026, New Zealanders can expect a well-regulated, responsible, and beneficial online casino market.
