In a surprising move that has drawn both praise and criticism, the Green Party has broken ranks with its opposition colleagues to support the coalition government's new online casino legislation.
The bill passed its first reading in Parliament on Tuesday with an 83-39 majority after a conscience vote saw all 14 Green MPs back the proposal, alongside the governing coalition parties.
Introduced by Internal Affairs Minister Brooke van Velden, the legislation aims to regulate New Zealand’s currently unregulated online gambling sector. The plan would establish a framework for licensing 15 online casino operators.
It would require them to implement robust responsible gaming and harm prevention strategies, age verification systems, and strict advertising limitations. Companies would also contribute 1.24% of their profits to a levy fund and face fines of up to $5 million for breaches.
A Push for Regulation in an Unregulated Space
Van Velden, from the ACT Party, said the bill was a necessary step to protect New Zealanders who are increasingly turning to online gambling platforms, many of which are currently based overseas and operate without local oversight.
“The most important part of this bill is protecting New Zealanders who enjoy gambling online by introducing robust safety measures for licensed operators. The bill will now proceed to the select committee, and I would encourage interested New Zealanders to have their say when public submissions open,” explained van Velden in a statement.
Under the bill, online casinos would be required to verify users' age to block under-18s, restrict advertising, and demonstrate a track record of harm minimisation compliance. Notably, domestic operators would not receive any preferential treatment in obtaining licences.
Greens See ‘Small Step' in Right Direction
The Greens’ decision to support the bill puts them at odds with their usual allies, Labour and Te Pāti Māori, both of which voted against it. Green Party internal affairs spokesperson Benjamin Doyle commented that the backing was a strategic choice to push the legislation into the select committee, where it could be improved.
“We always want to support movements towards harm reduction. So with online gambling, it's totally unregulated at the moment, and we see this as a very small step in the right direction to enact harm reduction techniques,” Doyle said.
He added that it’s not that far away, and the select committee will hear input from experts, the community, people who have faced gambling-related harms, and advocacy groups to help the government make informed changes and improvements to the legislation. This way, it would make a difference in potentially reducing harm, explained Doyle.
Potential Harm Should Not Be Overlooked
Despite the focus on regulation and harm prevention, not everyone is convinced. The Problem Gambling Foundation has voiced serious reservations, warning that the legislation could normalise and increase online gambling use.
Andree Froude, the foundation’s advocacy and public health director, said the bill risks doing more harm than good without stronger safeguards. She called for mandatory tools that require gamblers to pre-commit to limits on money and time before they start gambling and a ban on using credit cards to place bets — a move aimed at preventing spirals of debt.
Funding from the proposed levy would be pooled into the existing problem gambling levy fund. However, concerns have emerged over its effectiveness. A recent report from the independent Gambling Commission noted that the Ministry of Health had been unable to prove that the $81 million currently allocated reduced harm.
Greens Call for Transparency and Māori Consultation
Doyle said the Greens would advocate for full transparency in how levy funds are used and, ideally, see all gambling-related revenue directed back into harm reduction efforts.
“There needs to be extremely high levels of transparency around where that funding is going, that revenue is going, and my ideal would be that 100% of the revenue goes towards community harm reduction… it shouldn't be going towards the back pockets,” they said.
They also reiterated the party’s position on advertising, saying the Greens would push for a full advertising ban on online gambling and potentially a reduction in the number of available licences.
Additionally, Doyle stressed the need for early and meaningful consultation with Māori communities.
“The value mai i te kākano — ‘from the very seed' — is the best approach when engaging with Māori. We should be engaging right from the beginning of drafting this piece of legislation,” believes Doyle.
What’s to Come?
With the bill now moving to the select committee stage, public submissions will be sought in the coming weeks. The Greens are expected to use the process to press for changes, though they have yet to approach coalition partners about what amendments might gain cross-party support.
The debate over the future of online gambling regulation in New Zealand is only just beginning, but for now, the Greens’ calculated shift signals a willingness to work with the government if it means achieving meaningful harm reduction outcomes.
