Key points:
- New Zealand’s government plans to issue 15 online casino licences through an auction process
- Local operators fear being outbid by larger offshore companies, raising concerns about compliance and social responsibility
- Casino leaders emphasise the need for local involvement to protect jobs, ensure harm minimisation and uphold regulatory standards
New Zealand's proposed online gambling regulations have sparked debate, with local casino operators expressing apprehension about the competitive licensing process set to launch in the near future.
The government plans to issue 15 online casino operator licences through a competitive auction, a move expected to generate approximately NZ$719m ($417m) in gaming duty over four years.
The proposed regulations aim to close existing loopholes, implementing a 12% gaming duty on gross betting revenue from offshore operators.
Good to know: Currently, around 30 online gambling operators serve the New Zealand market
SkyCity's Chief Executive Jason Walbridge highlighted the potential challenges for local operators, stating: "These offshore operators are enormous companies with large balance sheets and lots of money in their bank accounts.
“They are able to bid significant sums for these licences. That's why we think it's important the government take into account the need to have New Zealand-licensed operators."
Walbridge went on to argue that New Zealand-based operators are better positioned to prioritise responsible gambling and adhere to local regulatory standards.
Christchurch Casino's Chief Executive Brett Anderson echoed these sentiments, suggesting the current proposal may not adequately consider long-term national interests. The casino also made headlines earlier this week, as a non-compliance proceeding has begun against it from the Department of Internal Affairs (DIA) due to AML and CFT failings.
While both executives welcomed the cap on licenses, emphasising that fewer operators could reduce advertising saturation and create a more controlled market, they urged the government to consider not just financial bids but the broader social and economic impacts when awarding licences.
