Lottery Corp Eyes NZ Expansion Amid Privatisation Talks

The Lottery Corporation is considering a potential move into New Zealand’s lottery market, as speculation grows that its investment advisers are pushing for privatisation opportunities.

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Pick & Scroll News
March 26, 2025

The Lottery Corporation is considering a potential move into New Zealand’s lottery market, as speculation grows that its investment advisers are pushing for privatisation opportunities. The $10.7 billion company, which was spun off from Tabcorp in 2022, may be lobbying Wellington politicians to allow private management of the national lottery, a system currently controlled by the government.


Currently, New Zealand’s lotteries are managed by the state-run New Zealand Lotteries Commission, which oversees the operations and directs all net profits to the Lottery Grants Board. These funds are then distributed to sports, cultural programs, and community initiatives. Any shift to private management would require a legal change, as the system is designed to keep control and profits within government oversight.


The proposed model could see The Lottery Corporation take over daily operations while still directing profits to charitable causes. Another option being considered is an upfront payment to the government in exchange for the ability to operate without ongoing tax obligations. However, there’s no official move yet from the New Zealand government to implement such a plan, though discussions are said to have been initiated with policymakers.


If the deal proceeds, New Zealand lottery players could benefit from larger prize pools, potentially linking with Australian lotteries to create bigger jackpots. A similar outsourcing deal was executed last year when an international betting firm secured a $1 billion agreement to manage New Zealand’s TAB racing operations. However, previous privatisation efforts in lotteries, such as a proposal in New South Wales, have faced political hurdles.


The speculation coincides with the New Zealand government’s broader push to attract foreign investment amid economic struggles. The recent New Zealand Infrastructure Investment Summit highlighted investment opportunities to major Australian and global funds, indicating a potential shift in government policy towards increased private-sector involvement in key industries.