The legalization of online casinos could generate between NZD 500 million and NZD 900 million for New Zealand

Gambling is a significant industry for New Zealand, generating approximately $1 billion (NZD 56 billion) in annual revenue. However, the online casino market remains unregulated, and the local government plans to introduce industry regulations by 2026.
New Zealand authorities estimate that the iGaming sector could contribute around $500 million (NZD 28 billion) in taxable income each year. However, gambling law expert Jarrod True from the law firm True Legal has described this figure as understated. According to local monopolies like Tab NZ and Lotto NZ, the current gray market for iGaming in New Zealand is estimated to be nearly $900 million (NZD 50.4 billion).
The popularity of online gambling has surged in the country, particularly during the COVID-19 pandemic. With the closure of physical venues, many New Zealanders turned to the iGaming sector as an alternative. Recognizing this trend, the government is eager to legalize the industry, with plans to do so by 2026. For lawmakers, regulating iGaming is a priority, but the process is expected to be lengthy, as the initiative requires approval from the New Zealand Parliament.
The bill has already been approved by the Cabinet and is set to be presented by the end of this year. Public consultations involving stakeholders, including international participants, will take place in 2025. The New Zealand government is looking to regulatory models from other jurisdictions as examples, which will likely influence the final structure of local gambling legislation.
Details regarding the number of licenses and associated costs remain unclear, and specific rules for regulating the online casino sector are still in development. However, it is already known that there will be controls on gambling advertising, and iCasino services are expected to be offered separately from lottery and sports betting services.
Notably, Ontario's iGaming market revenue grew by 34% year-on-year in the first quarter, reaching $726 million.