Alcohol Law Reform to Boost Sports Clubs and Community Venues

The change is aimed at cutting red tape, supporting grassroots organisations, and strengthening the financial sustainability of community venues that play a vital role in local life.

Sports clubs, RSAs and community organisations across New Zealand are set to gain new revenue opportunities under proposed reforms that will allow clubs greater flexibility in how they serve alcohol.

Associate Justice Minister Nicole McKee announced today that clubs will soon be able to choose between retaining their existing club licence or applying for an on-licence — enabling them to serve alcohol to the wider public under standard hospitality rules.

The change is aimed at cutting red tape, supporting grassroots organisations, and strengthening the financial sustainability of community venues that play a vital role in local life.

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Clubs Currently Restricted to Members Only

Under current law, clubs operating on a club licence can only serve alcohol to:

• Club members

• Members’ guests

Minister McKee said these restrictions prevent clubs from making full use of their facilities and limit their ability to host events for the broader community.

“Clubs are the backbone of local communities. They’re run by volunteers, they host local events, and they bring people together. But the current law limits what they can do and who they can serve alcohol to,” she said.

The rules mean clubs are often unable to host non-member events such as:

• Fundraisers

• Birthday celebrations

• Community gatherings

• Post-match hospitality for local supporters

Unless they apply for a special licence each time, clubs must turn people away — often losing business to commercial venues.

“These events represent significant revenue opportunities for clubs, but unless they apply for a special licence every time, they’re forced to turn people away,” Mrs McKee said.

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New Choice: Club Licence or On-Licence

The proposed reform will give clubs a clear choice:

• Keep their club licence if they prefer operating primarily for members

• Apply for an on-licence if they want to serve the wider public

An on-licence would allow clubs to operate under the same framework as bars and restaurants, including requirements such as:

• A trained duty manager on site whenever alcohol is served

• Compliance with existing host responsibility and licensing rules

“This change gives clubs real choice,” Mrs McKee said.

“They can apply for an on-licence and serve the wider public under the same rules as bars and restaurants.”

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Revenue Gains to Flow Back Into Communities

Minister McKee said the reform will deliver tangible benefits by allowing clubs to expand their customer base, host more events, and generate new income streams.

With greater financial freedom, clubs will be better positioned to:

• Keep membership fees affordable

• Fund travel and uniforms for sports teams

• Upgrade clubrooms and community facilities

• Invest in new equipment

• Sustain volunteer-run operations

“With greater freedom to host events, attract more customers, and grow revenue, clubs will be better placed to keep fees low for members,” she said.

“These are real, tangible benefits that flow straight back into local communities.”

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Opening Up Community Facilities

The Minister also highlighted that many clubs already have high-quality venues that are underused because of licensing constraints.

“Many clubs have fantastic spaces – great clubrooms, well-run bars, and affordable hospitality,” she said.

The reform would allow more New Zealanders to access these facilities without unnecessary barriers, helping clubs become stronger social hubs in towns and suburbs nationwide.

“This reform means more New Zealanders will finally be able to enjoy them without all the red tape,” Mrs McKee said.

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Strengthening Grassroots Organisations

The Government says the change reflects a broader commitment to backing community-led institutions and reducing regulatory burdens that limit local initiative.

If enacted, the reform is expected to provide long-term sustainability for clubs that are central to New Zealand’s sporting, social and civic fabric.