TLDR
- New Zealand’s Online Casino Gambling Bill passed its third and final reading in parliament this week and now heads to Royal Assent, expected in May
- Up to 15 online casino operator licences will be issued through a competitive process, with applications opening in July and closing 1 December 2026
- Licensed operators will face strict rules including penalties of up to NZ$5 million for serious breaches
- The law applies to offshore operators too — those who don’t apply for a licence by the deadline must stop serving New Zealand customers
- A portion of gross gaming revenue may fund local sports clubs and community groups, potentially bringing in NZ$10–20 million in the first year
New Zealand is moving ahead with plans to regulate online casino gambling after its landmark bill cleared the final hurdle in parliament this week.
The Online Casino Gambling Bill passed its third reading, bringing the country closer to a legal framework for iGaming. The bill now goes to Royal Assent and is expected to become law in May.
Minister of Internal Affairs Brooke van Velden has been the driving force behind the legislation. She said the bill closes a gambling tax loophole and requires licensed online casino operators to pay tax like any other business in New Zealand.
The Department of Internal Affairs will manage the licensing process. A revised timetable published in March 2026 outlines the key dates ahead.
Licensing Process and Key Dates
The government will issue up to 15 licences to qualified online casino operators. The application window is set to open in July 2026, with a deadline of 1 December 2026.
Entain has already signaled interest in the new market. The company said in March it was targeting three of the 15 available licences.
Entain CEO Stella David said during the company’s full-year earnings call that its exclusive betting brand TAB in New Zealand gives it a unique position. She noted Entain is the only online operator that could cross-sell between sports betting and iGaming in the country.
Licensed operators will need to meet strict compliance standards. Enforcement tools available to the DIA include take-down notices, formal warnings, enforceable undertakings, and penalties of up to NZ$5 million for serious or repeated breaches.
The government has also discussed setting aside a share of gross gaming revenue from licensed operators to support local communities. Cabinet papers from November showed 4% of operator GGR was being considered for community returns.
That funding could bring in between NZ$10 million and NZ$20 million in the first year if the new regime starts on 1 January 2027. However, stakeholders have hinted at possible further delays.
The launch was already pushed back from an original 2026 start date.
Offshore Operators Face New Rules
One of the most important parts of the bill is its reach beyond New Zealand’s borders. The law will apply to all online casino services accessible within the country, regardless of where operators are physically based.
This is designed to close loopholes used by some offshore providers. Operators who do not submit licence applications by the 1 December 2026 deadline will be legally required to stop offering services to New Zealand customers.
They will also face the same NZ$5 million penalty cap for non-compliance.
The bill first passed its initial reading by 83 votes to 39 and was referred to the Governance and Administration committee in July 2025.
Throughout the process, industry stakeholders and legal experts raised concerns about the fast timeline. Legal advisers warned that the compressed schedule could limit thorough consultation on the regulations still to come.
Licensed operators are expected to begin operations in 2027, though the exact start date remains subject to the licensing process and any further delays flagged by the industry.
