Online Gambling Operators Will Profit Big — Communities Get Just 4%
- May 20
- 2 min read
The new Online Casino Gambling Act becoming law was probably inevitable. Online gambling has been happening for years, and regulation is better than pretending it doesn’t exist. But what doesn’t sit right with me is the return to communities. The Government says only 4% of online gambling proceeds will go back to grassroots sport and community initiatives.
Yet in New Zealand, Class 4 gaming machine societies — the pokie trusts — are legally required to return a minimum of 40% of gaming machine proceeds back into communities through grants. So why should online gambling operators only contribute 4%? That’s the part I struggle with.
Sports clubs and community organisations are already under pressure. Costs are climbing, volunteers are stretched, and grant funding is becoming harder to secure. At the same time, online gambling continues to grow rapidly.
If online operators are going to profit from New Zealanders, then communities deserve a far more meaningful return than what currently feels like a token gesture.
And this isn’t just about money.
As online gambling becomes more visible and more heavily advertised, we also risk normalising gambling even further — especially for young people growing up surrounded by betting ads, online casino promotions, and “quick spin” marketing.
Community sport should never become dependent on gambling growth to survive.
I understand the need for regulation. Consumer protections and oversight matter. But if communities are expected to carry much of the social impact, then asking online gambling operators for only 4% while pokie trusts return 40% simply feels out of balance.
Communities deserve better than 4%.
#CommunitySport #GrassrootsSport #NotForProfit #Governance #OnlineGambling #SportsClubs #CommunityFunding #NewZealandSport #Leadership #GamingTrusts #GrassrootsCommunities #SportNZ #fourpercentsucks #KeepingClubsMoving
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