New Zealand’s online gambling landscape is poised for a historic transformation next year as the government moves to regulate a sector that has long operated in a legal grey zone.
With residents and visitors spending an estimated $700 million annually on digital poker, slots, and blackjack, the Department of Internal Affairs is set to issue the first wave of regulated online casino licenses between August and December 2026.
End of the “Grey Market” Era
Currently, New Zealand operates under a restrictive online gambling framework governed by the Gambling Act 2003 and the Racing Industry Act 2020. While domestic online casino operations are largely banned, players have legally frequented offshore websites that operate outside local oversight. This loophole has left players vulnerable to unregulated practices, while TAB New Zealand has maintained a strict monopoly on sports betting, a status that will remain protected under the new regime.
The 2026 Licensing Auction
The upcoming regulations introduce a competitive and strictly capped licensing system designed to bring offshore operators into the fold.
- Limited Availability: Only 15 licenses will be made available via an auction process.
- Operator Cap: A single operator can hold a maximum of three licenses, meaning the market could consist of anywhere between five and fifteen distinct entities.
- Scope: Licenses will cover online casino games (slots, table games) but explicitly exclude sports betting, which remains the exclusive domain of TAB New Zealand.
Timeline and Validity
Operators who successfully navigate the three-stage application process—expression of interest, invitation to auction, and full application, can expect licenses to be valid for an initial three-year term. Provisions allow for a potential five-year extension, securing operations through 2034.
Focus on Consumer Protection
The primary driver for this overhaul is player safety. By bringing operators under New Zealand jurisdiction, the new framework aims to eliminate predatory bonus structures and opaque withdrawal terms often found on unregulated offshore sites. Mandatory transparency regarding wagering requirements and terms and conditions will be enforced, creating a safer ecosystem for Kiwis when the new market officially opens in late 2026.
