New Zealand to pare down number of online casino licenses

New Zealand is looking to potentially pare down the number of online casino licenses the country has to go around, ahead of a planned regulation of the industry which will see licenses issued in the country for the first time.

The move comes amid increased scrutiny of the gambling sector, and the potential harm emanating from the iGaming vertical, alongside other popular products.

New Zealand outlines new consumer protection measures

On Wednesday, New Zealand pitched a number of changes that seek to tighten the regulatory framework in the country and enhance player and consumer protection measures adopted by the industry, as well as government and regulatory oversight.

For one, the country would seek to reduce the number of online casino licenses to go around and, secondly, it will also seek to suspend gambling advertisements that may appeal to children. Another measure that is intended to strengthen the industry’s care of consumers is the implementation of an age verification system.

All of these measures are still open to discussion, but they seem very likely to happen. At the same time, Internal Affairs Minister Brooke van Velden said that all of the proposals are expected to be in place in the early months of 2026, and they will come with financial penalties.

Offending license holders would face up to $3m in penalties, as the minister outlined her plans to help make gambling safer for everyone. Van Velden is not antagonistic towards the sector either as, in her public remarks, she underscored that her only ambition is to make the sector safer for consumers who wish to play online casino games of chance.

"Currently, New Zealanders can and do gamble on thousands of offshore gambling websites. By introducing a regulatory system my intention is to channel customers towards up to fifteen licensed operators," Van Brooke said cited by various media outlets.

New licensing regime to take shape first, tweaks already planned

New Zealand is an outlier from most developed countries, as the country allows online casino operators to run their business in a sort of grey area.

This will now be changing as outlined earlier this year when the government said that it will introduce a licensing regime, which means that any international or domestic operator that wishes to continue doing business would have to apply for a license and be approved.

Any resulting licensee holder would also have to meet a rather robust standard for consumer care, limit its offer to online casino games only, and strictly impose a minimum gambling age of 18. These plans are still a work in progress, but New Zealand is headed for re-regulating its gambling industry.

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