Govt says alcohol reforms aimed at “fairness and practicality”

The Government has announced proposed changes to the Sale and Supply of Alcohol Act 2012, saying the focus is on restoring fairness and practicality to the system without compromising public safety.

“Most New Zealanders who choose to drink alcohol do so responsibly,” said Associate Justice Minister Nicole McKee. “Our reforms recognise that responsible drinkers should not be penalised because of the behaviour of a few who do not drink safely. The Government is making targeted reforms to alcohol legislation to remove unnecessary red tape while continuing to uphold protections that minimise alcohol-related harm.”

The Government says the package aims to improve how the law operates in practice, removing compliance burdens that don’t meaningfully reduce harm, while strengthening areas where regulation can have a real impact.

Key changes include:

  • Fairer, clearer licensing processes, including ensuring that objections to licence applications come from the local community, and allowing applicants the right to respond to objections;

  • Modernised rules for national events, enabling Ministers to declare major televised events without the need for legislative amendments each time;

  • Stronger safeguards, such as improved age verification under the Government’s Digital Identification Trust Framework, and clear responsibilities for alcohol delivery services to prevent sales to intoxicated or underage people.

The Government says the reforms also reflect growing consumer demand for non-intoxicating alternatives. Licensed premises will be required to offer a wider range of zero- and/or low-alcohol beverages, and outdated definitions in the Act will be updated to reflect modern products and preferences.

Nicole McKee stressed that territorial authorities will retain all current powers to regulate alcohol within their communities through Local Alcohol Policies and District Licensing Committees. “I trust local councils to make the right decisions for their communities. If people have concerns about alcohol in their area, they should raise them directly with their council, and many already do.”

Cabinet decided to:

  • Allow licence applicants a right of reply to objectors.

  • Only allow objections to applications from local communities.

  • When renewing a licence under a new LAP, require DLCs to change licence conditions, rather than completely decline the application.

  • Allow hairdressers and barbers to supply small amounts of alcohol to customers without a licence.

  • Allow premises like wineries, such as breweries and meaderies, and distilleries, to hold both on- and off-licences to support cellar door sales.

  • Update regulations so that rapid delivery services will be better supported to reduce alcohol-related harm.

  • Enable the responsible Minister to declare a stand-alone exemption to special licensing requirements for national televised events.

  • Allow age verification digital identity credentials as approved evidence of age documents for alcohol purchases.

Hospitality New Zealand says the targeted reforms go some way to improving fairness in the licensing process – but more needs to be done to address ongoing uncertainty for operators.

Nick Keene, Hospitality NZ’s Acting Chief Executive, says the reforms are a positive step, particularly in ensuring any objections to a licence are locally based, rather than allowing for objections from anywhere, and that applicants have the right to respond to objections.

“These changes recognise that responsible hospitality businesses should not be unfairly burdened by inefficient or unclear processes. Making licensing fairer and more workable is essential for the viability of our industry.”

However, many members remain concerned about the way licence applications and renewals are handled by local licensing agencies and District Licensing Committees.

Nick Keene says: “While it’s good to see progress, operators still face too much uncertainty when renewing their licences, even when they have a strong track record of compliance. Consistency in the licensing process across New Zealand is an area that needs further attention to provide real confidence for business owners.”

Hospitality NZ also welcomed the amendments to allow zero percent alcohol options to satisfy low-alcohol drink provisions in the Sale and Supply of Alcohol Act. “This is something we have long advocated for,” says Nick Keene, “especially as customer preference has moved away from mid-strength beers to zero-alcohol alternatives, but venues have been required to continue to carry low-alcohol options to satisfy their licensing requirements.

“This is a great example of a small change that can improve a hospitality operator’s bottom line and we’re pleased to see this common-sense amendment included.”

The Brewers Association of New Zealand has also welcomed the announcement of targeted reforms, including the clearer rules for zero- and low-alcohol products.

Executive Director Dylan Firth said the changes will modernise the law to reflect current drinking trends. “Zero-alcohol beer is now one of the fastest growing parts of our sector, with consumers increasingly seeking moderation and choice. These reforms mean licensed venues will be able to meet that demand more easily, with updated definitions ensuring 0.0% and no alcohol products are recognised properly under the law.”

The Brewers Association says the changes will reduce outdated mandatory requirements for mid-strength products to be available that no longer align with consumer preferences or are less widely available due to low demand, while supporting host responsibility and innovation.

“Today’s announcement is about making the rules fit for purpose — giving New Zealanders more choice, supporting moderation, and ensuring the law reflects how people actually drink today,” said Firth.

The Association noted that the reforms will also help drive continued product development by brewers and provide greater flexibility for hospitality venues to offer customers a broader and more relevant range of drinks.

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