in New Zealand is controlled by the Department of Internal Affairs. All public gambling is expected to return a portion of profits to the community. The largest proportion of the gambling industry is operated by state-owned institutions. Expenditure on gambling was $NZ 2.034 billion in 2008, a tenfold increase over 1985 figures.
Horse racing
was declared illegal in New Zealand in 1920. From then until the introduction of the Totalizator Agency Board in 1961, betting on racing was only available on-course.
Lotteries
The first "Art Union" was conducted in New Zealand by the Otago Art Society in December 1877, Both individuals and organizations subsequently used them as a way of raising funds. The first national lotteries were established in 1933. They were known as "Art Unions". Prizes were relatively small, and in the early Art Unions the prizes were quantities of alluvial gold. As an example, the "Golden Treasure" Art Union of 1935 had 200,000 tickets with a top prize of £2000 ranging down to an 11th prize of £20 plus 400 prizes of £2. The low returns tempted many people to purchase tickets in overseas lotteries such as the Australian Tattersall's lottery. With Art Union sales declining, a review of lotteries was undertaken by the Second Labour Government in the late 1950s, and in 1961 the National Government introduced the Golden Kiwi lottery. The New Zealand Lotteries Commission was established in 1987. Its original product, Lotto, has since been supplemented by Instant Kiwiscratch cards, daily Keno and a Lotto variant named Big Wednesday. Lotto tickets became available online in 2008. The Totalizator Agency Board, commonly called the TAB, is a sports betting organisation run by the New Zealand Racing Board.
"Pokies"
Introduced in 1987, slot machines, commonly known as "pokies", are operated by charitable foundations and are mostly placed in hotels and bars. Maximum jackpots are regulated. In the year ending 30 June 2008, turnover was $10.096 billion, of which $9.158 billion was returned as prizes. These figures represent a 9% decrease from the peak year of 2004. Pokies accounted for 46.1% of gambling expenditure in 2008. The year to 30 June 2009 saw a further 5% fall in expenditure, to $889 million. There were 19,479 machines in 1,501 venues operated by 384 licensees, all of these figures being a decrease from 2008. Since 1 July 2009, all machines must have Player Information Displays, which inform the gambler how long they have been playing, how much they have lost, and which encourage them to take breaks. A 2010 study linked the prevalence of slot machines with high crime levels. In May 2013the Government announced it would allow casinoSkyCity Auckland to install an additional 230 pokie machines and 40 new gambling tables, in exchange for a $402 million convention centre.
Casinos
There are Six casinos operating in New Zealand, the first of which opened in 1994:
