1/07/2025·4 min read
Scratched: New Zealand bans offshore betting

On 27 June 2025, the Racing Industry Amendment Act 2025 (Amendment Act) received Royal Assent, which introduced significant changes aimed at modernising and safeguarding the future of New Zealand’s betting and racing industry.
The Amendment Act will bring a number of changes to New Zealand’s sports and racing betting industry, chief among them being the expansion of TAB New Zealand (TAB NZ)’s domestic monopoly to encompass online betting.
The Amendment Act will:
- Expand TAB NZ’s monopoly to cover all domestic online sports and racing betting, securing revenue previously lost to offshore operators and supporting industry sustainability.
- Strengthen governance and oversight by introducing mandatory board expertise requirements and enhanced Ministerial powers to ensure accountability.
- Empower the Governor-General to set harm-minimisation regulations limiting bets and prescribing exclusion, consumer protection, and dispute resolution procedures.
Expansion of TAB NZ’s monopoly
A cornerstone of the Amendment Act is the ban on offshore bookmakers from accepting bets from inside New Zealand. Previously, TAB NZ held exclusive rights to land-based sports and racing betting. Now, under the Amendment Act, that monopoly will be extended to include all domestic online betting as well. This will effectively make TAB NZ the sole legal domestic provider of sports and racing betting in New Zealand.
Rationale behind the change
This shift is designed to address the issue of what TAB NZ estimates to be around $180 - $200 million that Kiwis bet with offshore providers annually. The shift aims to redirect this vital revenue back into the industry, supporting sustainability and growth.
Further, in June 2023, TAB NZ entered into a long-term partnership agreement with betting giant Entain Group Pty Ltd (Entain) that included a $100 million bonus payment if TAB NZ were to become the only legal provider of online sports and racing betting in New Zealand. This Amendment Act will trigger the $100 million payment to TAB NZ, which will be distributed between Sport NZ, various racing codes, and used to bolster TAB NZ’s reserves.
The move to ban offshore betting operators in New Zealand will work to preserve New Zealand’s racing industry, which currently supports around 13,500 jobs and contributes $1.9 billion annually to New Zealand’s economy.
How the ban will work
The Amendment Act will stop short of geo-blocking offshore betting operators’ websites, given concerns that this may be too onerous of a process given the fluidity of URLs and the vast number of online bookmakers. It will instead hold offshore bookmakers liable for taking bets from individuals inside New Zealand.
Compliance with the Amendment Act is expected (particularly from our Australian “cousins” where Entain has a strong corporate presence), as non-compliance with New Zealand law may potentially jeopardise offshore operators’ ability to gain or maintain gambling licenses in other jurisdictions. There may also be an opportunity for National Sporting Organisations (NSOs) to support enforcement by drafting suitable warranties into the Betting Use Information Agreements that they currently negotiate and enter into with offshore betting companies for the use of sports information and data from designated sporting events pursuant to the Racing Industry Act 2020 (NZ): Betting on sports events | Sport New Zealand - Ihi Aotearoa.
Strengthened governance
With this expanded monopoly, the Amendment Act introduces stronger governance measures to ensure accountability and transparency. Key changes include:
- board member expertise requirements, mandating specific experience in legal oversight and financial management; and
- increased Ministerial oversight powers, allowing formal requests for data and reports from TAB NZ to ensure public accountability.
These governance reforms aim to ensure that the newly established betting monopoly is managed responsibly, and to preserve public trust in the betting system.
Online harm minimisation & consumer protections
Significant emphasis was also placed on harm minimisation, allowing the Governor-General to create secondary legislation to regulate or prescribe a number of initiatives aimed at reducing the harm associated with gambling, ranging from limiting or refusing to accept bets, to regulating the information TAB NZ communicates to bettors.
Currently, TAB NZ is empowered to refuse all or any part of a bet without giving a reason for doing so. Critics have raised concerns over how this harm minimisation approach may unduly affect excluded bettors, as TAB NZ’s new monopoly would leave them without another legal avenue to place bets.
In recognition of this concern, the Amendment Act amends this ability by requiring any refusal to accept a bet to be subject to any regulations in relation to consumer protection, which includes guidance on when a person may be limited from betting, processes to ensure bettors receive adequate consumer protection, and a complaints and disputes resolution process.
Concerns that a local monopoly could lead to inferior odds for New Zealand punters have been addressed by Entain, which also owns Australian betting company Ladbrokes. It has confirmed that TAB and Betcha (a betting operator also under TAB NZ’s umbrella) will offer the same fixed odds as those available through Ladbrokes in Australia, as all three platforms utilise the same underlying technology. Given these odds must remain competitive in Australia’s highly saturated betting market, the arrangement provides some reassurance that New Zealand customers will not be disadvantaged despite the newfound lack of competition.
Our thoughts
With the prevalence of virtual private network services, otherwise known as VPNs, a dedicated punter may be able to bypass the ban. However, this would require them to verify their accounts using both a physical address and phone number from overseas. For many Kiwis, the juice may not be worth the squeeze, and they will instead revert back to TAB NZ’s services in order to gamble online. Although a significant aspect to this may be the need for TAB/Betcha to offer the Kiwi customer the same depth of betting choices and attractive odds that mirror what they have come to expect from offshore betting providers.
The Amendment Act will also come as a welcome development for New Zealand’s numerous NSOs and racing codes, which are in line for a funding boost given the $100 million bonus payment in recognition of TAB NZ becoming the sole legal betting operator.
Some have criticised the Amendment Act as a missed opportunity for failing to address Class 4 licences (gambling machines); however, it remains to be seen whether it ultimately strikes the right balance between generating more revenue and minimising harm.
Get in touch
If you would like to discuss any aspect of this Amendment Act, please contact one of our experts.
Special thanks to Cody Malaki for his assistance in writing this article.
Contacts

Richard Watts
