Many observers agree that the gambling industry in New Zealand is on the brink of some major changes – changes that will precipitate a huge increase in its size and the revenue that it generates. A recent market report highlighted the fact that in 2025 the land-based and online elements of the sector were expected to raise $3.11 billion in revenue. The projected annual increase of 3.21% up until 2029 should see this figure increase to $3.53 billion in this time.
The figures for the online casino market promise to be even more impressive. Currently it generates around $267 million in revenue but with a projected annual increase of 14% between now and 2030 this should more than double to reach $584.5 million. This will be driven by the fact that by the end of the decade it’s expected that a total of 2.3 million New Zealanders will be actively engaged in gambling.
Other factors that are sure to play an important part are the significant amounts that players have been shown to spend which exceeded $1,110 per person in 2025 along with the level of internet penetration that’s at 93% and rising.
As with other forms of gaming, mobile is now the preferred way of playing for many casino fans and the country’s 93% phone ownership level will also prove to be a highly significant factor going forward.
New legislation set to open up the market
Land-based and lottery forms of gambling have long been regulated in New Zealand following the imposition of the Gambling Act 2003. However this totally failed to anticipate the explosion in the online gambling sector that was still in its relatively early days at that time.
The borderless nature of the internet has meant that online operators were able to offer their services to New Zealanders without either party being penalised for this. This has left the players unprotected in what is currently a totally unregulated market. So if there is ever a dispute or disagreement there is no over-riding regulatory body to come to the player’s aid.
Therefore the country is now set to introduce robust and up-to-date legislation along with a strict regulatory framework.
At the beginning of March 2026 the New Zealand Online Gambling Bill had reached its second reading in parliament. The next steps include the third reading and, hopefully, being sent for Royal Assent.
If all goes smoothly it is expected that the bill will become law and come into force on 1st May 2026.
Under the projected legislation an initial 15 licences will be issued. Recognising that many unlicensed operators will continue to operate there is a transitional agreement that they can continue to offer their unlicensed services until 1st December 2026 but will need to obtain a licence after this date.
In the meantime, any New Zealanders looking for reputable operators amongst the best New Zealand casino sites can rely on reviewers like Casino Guru to point them in the right direction.
The overall aim of the new legislation, which will be overseen by the Department of Internal Affairs as well as the country’s Gambling Commission, will be to strike a balance between opening up the market alongside offering safety and protection for players.
Strict compliance required
In order to be granted a licence, operators must be able to show that they will be acting responsibly. This will include running strict age-verification checks on all players. The licences will also be awarded to the highest bidders who also meet all of the required specifications.
Once the 15 online casinos are up and running the Gambling Commission will have the power to both withdraw licences and impose fines of up to $3 million for any breaches.
There are also set to be advertising restrictions put in place. These will forbid any advertising directed at under-18s, control when and where ads may be shown and ensure that all marketing communications must also carry a responsible gambling message.
Financial implications for the government
The new licensing agreements are set to raise some very valuable extra revenue for the government and there will also be a requirement for all operators to contribute a 1% levy that will be used to fund initiatives to reduce gambling harm in the country. The 12% Gambling Tax on Gross Gaming Revenue and the 15% Goods and Services Tax are also set to raise millions of dollars annually. But gamblers themselves will be able to enjoy their own winnings completely tax free.
So there’s no doubt that big changes are on the way that will transform gambling in New Zealand forever. Along with many other countries which have already introduced legislation of this kind it should herald a gradual shift from land-based to mobile casinos – and that surely is the future not just in New Zealand but all around the world.
