New Zealand local casinos like SkyCity are pleased with the latest cap of online casino licenses at 15. However, concerns about revenues and jobs going to larger offshore companies remain.
The NZ authorities are currently putting forward proposals about how to proceed with online gambling regulation. After years of talks, the time to open the online casino market through a clear regulatory framework has finally arrived.
The debate surrounds offshore online gambling powerhouses and their ability to place higher bids for licensing and ultimately sideline local operators that would finally move to a regulated digital setting. The government announced that it plans to issue 15 licenses through a bidding process. This move alone is expected to bring in over NZ$700 million in the first four years.
The above number is likely to grow further thanks to the newly proposed legislation. So far, offshore online casinos have been operating in New Zealand through loopholes and were not subject to taxes. If the new law passes, a 12% tax rate will apply to gross revenue from offshore gambling sites.
The number of 15 licenses might seem limited. However, despite the ability of hundreds of Curacao licensed and other international online casinos to treat New Zealand as an open game so far, NZ players appear to engage with roughly 30 established gambling sites.
On the other hand, the new framework is set to legitimatize larger offshore gambling sites that can spend significant sums on advertising and are likely to overrun local companies like Christchurch and SkyCity.
- SkyCity’s Chief Executive counter proposal suggests that the digital sphere should be served exclusively by local operators who are also better positioned to serve the needs of the audience.
From our standpoint, the solution will be somewhere in the middle. The government is likely to drop casino licenses to 10 instead of 15 and place advertising guidelines to avoid market saturation.
Talks and revisions surrounding New Zealand’s online gambling landscape will continue throughout 2025, and the bidding process is set to take place in early 2026. Afterwards, approved online casinos that meet the set standards will be allowed to begin operations. Interestingly, most gambling sites that will bid for a license are already present in the market, so this whole debate and developments have little impact on actual players.
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Michael has reviewed and verified all information on this page. Having worked in the iGaming industry for over 8 years, he is the most capable person to help you navigate online casinos, pokies, and the Australian gambling landscape.
