Unregulated
New Zealand is a popular grey market.  It is currently lawful for offshore-based online providers to provide online casino gambling services to New Zealanders provided the gambling operation is run and managed entirely outside of New Zealand. It is unlawful for anyone apart from TAB New Zealand to offer race and sports betting to persons located in New Zealand.

It is illegal to advertise overseas-based gambling providers. The advertising restriction makes it difficult for new entrants to gain market share.

A 12% offshore gambling duty applies to online casino gambling provided by offshore operators to New Zealand residents. A 15% goods and service tax is also payable.

The New Zealand Government is currently undertaking work to develop an online gambling system for New Zealand. An online licensing system is expected to be in place by mid-2026. There will be a limited number of licences available allocated by auction (the current proposal is 15 licences), with licences lasting three years, with one right of renewal for a further five years.  Operators will only be able to offer online casino games.  From 1 July 2026, only licenced operator’s may offer online casino gambling to person located in New Zealand.

Market Size
In the 12-month period June 2023 to July 2024 the reported New Zealand spend on gambling activities totalled $2.76 billion. This is broken down as follows:

• TAB New Zealand (race and sports betting, including online betting via TAB.co.nz): $371m
• New Zealand Lotteries Commission (lottery and instant win scratch products, including online sales via mylotto.co.nz): $792m
• Non-casino gaming machines (land-based only): $1.037 billion
• Casinos (revenue from the six land-based casinos – excludes online): $592m

Online gambling outside the two statutory permitted TAB New Zealand and New Zealand Lotteries Commission offerings is popular. There is, however, no formal data collected for this additional online spend.

In March 2025, the Minister in charge of setting up the new licensing system advised that “New Zealanders are gambling with online casino sites now – spending anywhere between $300 million and $700 million in a ‘grey market’ where hard data is scarce.”

Competitive Landscape
The New Zealand regulator, the Department of Internal Affairs, estimates that there are currently 3,000 online providers accepting deposits from New Zealand customers. While several of the large incumbent providers appear to be doing very well, the current prohibition on advertising and promoting online gambling makes it difficult to gain market share.

Localisation
It is unlawful to advertise offshore-based online gambling within New Zealand, which makes gaining market share difficult. Because online gambling must be conducted offshore, all payments must be transacted from offshore.

Top Key Attractions and challenges
Attractions

• A clear lawful pathway to offer online gambling products.
• Online gambling is popular in New Zealand and growing.
• Room for future market growth due to the introduction of an online gambling licensing system (this is expected to be in place by mid-2026).

Challenges

• Inability to offer online race and sports betting.
• Current inability to market and advertise.
• Current inability to transact and conduct business from within New Zealand
• A new licensing system will include a limit on the number of online licences.
• From 1 July 2026, only licensed operators may offer online casino gambling to persons located in New Zealand.