The Gambling Act 2003 has four clearly defined purposes that guide all gambling regulation in New Zealand. First, to control the growth of gambling by limiting licences and preventing excessive expansion. Second, to prevent and minimise the harm caused by gambling through responsible gambling programmes and support services.

Third, to authorise certain types of gambling and prohibit others — creating a clear legal framework that distinguishes between permitted activities (licensed casinos, approved lotteries) and illegal gambling. Fourth, to facilitate responsible gambling by ensuring operators provide information, self-exclusion options, and staff training.

These purposes reflect a harm-minimisation approach rather than prohibition. The Act recognises that gambling can be legitimate entertainment while acknowledging its potential for harm. This balanced approach shapes every aspect of gambling regulation, from licensing decisions to enforcement actions.

The Act establishes a comprehensive licensing regime for different gambling classes. Class 4 gambling (pokies in pubs and clubs) requires operator licences and venue agreements with strict conditions. Casino gambling operates under a restricted licence system — only six licences are permitted nationwide, and no new licences can be issued.

Responsible gambling requirements are mandatory across all gambling sectors. Operators must develop and implement harm prevention programmes approved by the DIA, train staff to recognise problem gambling signs, display information about gambling risks and support services, and provide access to self-exclusion programmes.

The Act also includes strict advertising standards, prohibiting gambling advertising that targets minors, portrays gambling as a solution to financial problems, or suggests gambling is a rite of passage. Casino operators must ensure advertising is socially responsible and includes responsible gambling messages.

Section 9 of the Gambling Act 2003 establishes strict prohibitions on online gambling. It is illegal to provide "remote interactive gambling" (online casino games, pokies, or sports betting) to people in New Zealand, with limited exemptions for the New Zealand Racing Board (TAB NZ) and New Zealand Lotteries.

This prohibition applies to both New Zealand-based and offshore operators who target New Zealand residents. The DIA works with the Department of Home Affairs to enforce these provisions, including blocking access to illegal gambling sites and pursuing operators who breach the law.

However, the Act does not criminalise New Zealanders who use offshore gambling sites — only the operators who provide these services unlawfully. This creates a legal grey area where Kiwis can access international online casinos, though these sites lack New Zealand regulatory oversight and player protections.

The Department of Internal Affairs has extensive powers to monitor and enforce the Gambling Act 2003. DIA inspectors can enter gambling premises without notice, demand production of records and equipment, interview staff and patrons, and seize evidence of non-compliance.

Penalties for breaching the Act range from infringement notices (fines issued on the spot for minor violations) to criminal prosecution for serious offences. Operating an illegal casino can result in fines up to $1 million for corporations or $200,000 and two years imprisonment for individuals.

The DIA publishes enforcement decisions and annual reports detailing compliance activities, prosecutions, and industry trends. Recent enforcement has focused on failures in responsible gambling programmes, illegal online gambling operators, and pokies being operated without proper licences or in breach of harm minimisation requirements.