ISOLAS LLP is delighted to announce that it has once again retained its Band 1 ranking in the Chambers and Partners High Net Worth (HNW) Guide 2026, reaffirming its position as a leading private client firm in Gibraltar.

Senior Partner Peter Isola, and Partners Emma Azopardi Lejeune and Adrian Pilcher TEP, continue to be recognised as Band 1 lawyers.

Partner Stuart Dalmedo has retained his Up and Coming ranking, further recognising his growing reputation in the private client sector, particularly in the area of taxation.

Chambers HNW Guide recognises the leading advisers to high net worth clients globally. Clients praised ISOLAS for its “highly experienced team with broad depth of legal knowledge” and highlighted the firm’s expertise across estate planning, trusts, foundations, taxation and corporate structures.

Clients also recognised the firm’s responsive and practical approach, noting that ISOLAS “provided excellent service and high quality of staff” and guided matters through from start to finish with professionalism and efficiency.
Individual recognition included:

Peter Isola, described by clients as “a man of great depth and experience”, with his extensive knowledge of Gibraltar’s legal landscape providing significant value to clients.

Emma Lejeune, praised for being “incredibly responsive and resourceful” and fully dedicated to meeting client needs.

Adrian Pilcher, recognised for his exceptional commercial awareness and strategic advice.

Stuart Dalmedo described as “outstanding throughout”, with clients highlighting his clear advice, responsiveness and professionalism.

Senior Partner The Hon Albert Isola CBE said:

“We are delighted to once again receive Band 1 recognition in the Chambers and Partners High Net Worth Guide. This reflects the strength, expertise and dedication of our private client team and the trust our clients place in us.”

ISOLAS LLP Partner, the Hon. Neil F Costa, acted for Mr Karl Danino in his partly successful appeal against sentence before the Court of Appeal for Gibraltar (the ‘Court’). Neil Costa appeared together with Jeevan Daswani of Attias & Levy who instructed ISOLAS LLP.

In a judgment delivered on 13 July 2026, the Court of Appeal allowed the appeal in part and reduced the Appellant’s overall sentence from eight and a half years’ imprisonment to seven and a half years. The original sentence comprised two elements: 8 years 1 month for an offence of aggravated burglary and a 20-week consecutive sentence for an offence of threats to kill. The judgment, Danino v Rex [2026] GCA 009, was given by Sir Patrick Elias JA with Sir Nicholas Underhill JA and Sir Nigel Davis P agreeing.

Background to the appeal

The appeal’s principal focus was the sentence for aggravated burglary. The appeal advanced four principal grounds concerning errors in: (a) the categorisation of the aggravated burglary offence; (b) the treatment of the aggravating and mitigating factors; (c) the reduction afforded for the guilty plea; and (d) the application of the totality principle. The appeal raised questions concerning the relevance of a mental disorder to an offender’s culpability and the correct approach to psychological and emotional harm described in victim personal statements.

Aggravating and mitigating factors

The appeal succeeded in relation to the treatment of the aggravating and mitigating factors. The Court concluded that there had been a material degree of double counting as follows:

(a) in treating the fact that the burglary was of a dwelling house as an aggravating factor. The Court held that the harm suffered by the victims in having their privacy and security infringed had already been taken into account when assessing the emotional harm both to the victim and, more especially, to her parents;

(b) in treating the fact that the offence occurred shortly after 8.00 pm as an aggravating factor. In so far as the timing of the offence may have aggravated the experience for the victims, this had already been taken into account when assessing the victims’ emotional and psychological harm; and

(c) in treating the use of drink and drugs as an aggravating factor. The taking of illicit substances was an important feature in evaluating the impact of the Appellant’s mental disorder on his offending. It should not have been given weight again.

In considering the relevant matters in the round, Sir Patrick Elias concluded that: ‘…the aggravating and mitigating factors are properly to be viewed as cancelling each other out.’ The appropriate sentence for aggravated burglary, before the application of the reduction for the guilty plea, was, therefore, eight years rather than nine years.

The Court also considered fresh evidence concerning the Appellant’s conduct while in custody. The evidence demonstrated that the Appellant had behaved constructively in prison, had participated voluntarily in drug testing with negative results, and had entered into a compact committing himself to good behaviour. The Court regarded those matters as lending support to the genuineness of the Appellant’s remorse and to the efforts he had made to address his longstanding difficulties.

The Court’s decision

After applying the 10% reduction for the guilty plea and adding the consecutive sentence imposed for the offence of threats to kill, the Court imposed an overall sentence of seven years and seven months. The Court rounded that term down to seven and a half years partly in recognition of the Appellant’s constructive conduct in custody.

 

Following HM Government of Gibraltar’s announcement of the new residency criteria and the subsequent publication of the Residency Regulations 2026 (the “Regulations“), Gibraltar has introduced a new framework governing the right to reside in Gibraltar. For summary Q&A click here.

The Regulations, which came into force on 14^th July 2026, have been enacted to facilitate the implementation of Article 45 of the Treaty on Gibraltar and the European Union. They replace, for relevant applicants, the previous residence document regime with a permit-based system under which a residence permit grants the legal right to reside in Gibraltar.

Importantly, holders of Gibraltar identity cards are not required to obtain a residence permit.

The Regulations establish a number of distinct routes to residence in Gibraltar, including for:

• Employees;
• Self-employed individuals;
• Students enrolled at the University of Gibraltar;
• Crown servants, Ministry of Defence personnel and members of HM Armed Forces;
• Existing residents transitioning from the previous legislative framework; and
• Permanent residents.

The new regime seeks to link residency rights more closely to employment, economic activity, accommodation and regulatory compliance, whilst preserving protections for existing residents and implementing transitional arrangements.

Protection for Existing Residents

Whilst the Regulations introduce significant changes for new applicants, they are not intended to affect existing Gibraltarians or those whose residency rights have already been established under the previous framework.

The Government’s published guidance states that the new criteria are not intended to apply to current holders of Gibraltar identity cards or current residents who obtained residence before 6^th October 2025.

Consistent with that policy objective, the Regulations contain a number of savings and transitional provisions designed to preserve the position of existing residents, permanent residents and persons whose rights continue to be protected under the Withdrawal Agreement, the EEA EFTA Separation Agreement or the Swiss Citizens’ Rights Agreement.

Existing residents holding valid civilian registration cards may continue to qualify for residence permits under broadly the same conditions as applied under the previous regime, provided they can demonstrate lawful and continuous residence in Gibraltar during the six months immediately preceding their application.

In addition, the Chief Minister has been granted a discretionary power to issue residence permits to certain individuals who were resident in Gibraltar before the Regulations came into force, but who were not in possession of a valid residence document or civilian registration card at the relevant time.

Residence Through Employment

One of the principal routes to residence under the new framework is through employment.

The Regulations introduce a number of eligibility criteria intended to demonstrate a genuine and substantive connection with Gibraltar. In general, applicants must hold an employment contract of at least one year’s duration and receive gross annual earnings that are equal to or exceed Gibraltar’s published average gross annual earnings, currently £37,500 per annum.

The employer must also meet certain requirements. Businesses must be actively trading in Gibraltar, hold the necessary licences under the Fair Trading Act 2023 (or other applicable regulatory approvals where carrying on regulated activities), and be compliant with their filing and payment obligations. These requirements are designed to ensure that residence rights are granted only in connection with legitimate and compliant businesses operating within Gibraltar’s economy.

Applicants must also demonstrate that they have secured suitable accommodation in Gibraltar. This may be by way of ownership or a rental agreement, and accommodation arrangements may be made conditional upon the grant of the residence permit. However, the Regulations make it clear that the accommodation must represent a genuine primary residence. Holiday lets, rental agreements of less than 12 months and properties that are not intended to be occupied as the applicant’s principal home will generally not qualify. In the case of rental accommodation, the lease must generally be for a minimum period of 12 months and be entered into in good faith on genuine commercial terms.

The Regulations also introduce restrictions on vessel-based accommodation. Whilst individuals who were already residing on a vessel prior to the commencement of the Regulations may continue to rely on that accommodation, new applicants will generally not be able to satisfy the accommodation requirement by residing on a vessel.

In addition, all applicants must successfully undergo vetting by the authorities of the country in which they were most recently habitually resident, reflecting the emphasis placed on security and suitability under the new regime.

The Introduction of an Age Threshold

One of the most notable changes introduced by the Regulations is the imposition of a general age limit of 55 years for new employees and self-employed applicants.

Whilst this represents a significant policy development, the Regulations also recognise that Gibraltar’s economic needs may require flexibility. The Chief Minister is therefore granted discretion to waive both the age and earnings requirements where an individual possesses skills that are considered important to Gibraltar’s economic development or where there is a demonstrable shortage of labour within a particular sector or industry. This discretion is likely to prove particularly important in sectors facing skills shortages or where specialist expertise is required to support economic growth.

Facilitating Entry for Younger Workers

The Regulations also contain measures intended to support younger individuals entering Gibraltar’s workforce. Where an employee is under the age of 30 and does not meet the minimum earnings requirement, the Authority may nevertheless issue a residence permit provided that the employer makes a prescribed deposit to the Government.

The deposit must cover the equivalent employee and employer social insurance contributions that would be payable if the employee earned Gibraltar’s average gross annual earnings, together with an additional amount equal to 25% of Gibraltar’s average gross annual earnings.

These provisions appear designed to promote workforce development and assist businesses seeking to recruit junior employees who may not yet command salaries at the required earnings threshold.

Financial Deposits for New Businesses

Where an employer has held a business licence or relevant regulatory authorisation for less than one year, an application for a residence permit will generally not be processed unless the employer first pays a deposit to the Government.

The deposit is calculated by reference to:

• The anticipated employee and employer social insurance contributions for the first year of employment; and
• An additional sum equal to 25% of Gibraltar’s average gross annual earnings.

The Government may, in certain circumstances, reduce these deposits where it considers it appropriate to do so in Gibraltar’s interests.

These provisions are clearly intended to provide protection against potential liabilities while discouraging the misuse of newly established businesses as a means of obtaining residence rights.

Residence Through Self-Employment

The Regulations establish a parallel route for self-employed individuals seeking to relocate to Gibraltar.

Applicants must generally satisfy the relevant earnings threshold, demonstrate that they have secured suitable accommodation, establish that they are eligible to carry on business within Gibraltar and successfully complete the required vetting procedures.

In addition, newly established self-employed applicants will generally be required to make a deposit covering anticipated social insurance liabilities together with an additional contribution linked to Gibraltar’s average earnings. The requirements broadly mirror those applicable to employees and reflect the overarching principle that residence rights should be linked to genuine economic activity within Gibraltar.

Students, Crown Servants and Military Personnel

The Regulations also address categories of individuals whose connection with Gibraltar arises from education or public service.

Students enrolled on a full-time course at the University of Gibraltar may apply for a residence permit under a dedicated route. Similarly, members of His Majesty’s Armed Forces, Ministry of Defence personnel, Crown servants and their recognised dependants may qualify for residence permits under specific provisions tailored to their circumstances.

These measures ensure that individuals whose presence in Gibraltar serves public, educational or governmental purposes continue to have an appropriate pathway to residence.

Family Members

The Regulations also recognise the importance of family unity. Provisions are included allowing qualifying family members to be included in applications made under the employee, self-employed and student routes. These include spouses and civil partners, children under the age of 18 and children over the age of 18 who are undergoing full-time education.

Family members over the age of 18 must also satisfy the applicable vetting requirements.

The Regulations also make provision for unmarried partners of Gibraltarians. Unmarried partners of Gibraltarians may qualify for a residence permit if they can demonstrate that they have been in a genuine and durable relationship akin to marriage for at least two years at the date of application. The relationship must be ongoing and supported by evidence of an established personal relationship. Relationships based solely or predominantly on remote or online communication will not qualify.

Government Discretion to Grant Residence Permits

In addition to the specific residence routes established under the Regulations, the Government retains a broad discretionary power to direct the issue of a residence permit where it considers it to be in Gibraltar’s interests.

The Regulations provide that a residence permit may be granted to a person who is of good character where, in the Government’s opinion, the grant of residence would be in Gibraltar’s interests. The Regulations identify a number of circumstances in which this discretion may be exercised, including where residence is expected to generate wider economic or reputational benefits for Gibraltar, where a refusal would cause extreme hardship, where residence would contribute to Gibraltar’s cultural, educational or social development, or where there is another compelling public interest justification.

The power may also be exercised in relation to family members and provides an important degree of flexibility within the new framework, allowing exceptional cases to be considered outside the standard residence permit routes.

Appeal Rights

An important safeguard introduced by the Regulations is the establishment of an independent Residency Appeals Tribunal, which provides applicants with a formal mechanism to challenge decisions that adversely affect them.

Where an application is refused, a permit is revoked or a renewal application is refused, the affected person will have the opportunity to seek an independent review of that decision. Appeals must generally be lodged within seven days of the applicant being notified of the decision.

This ensures that applicants are not solely reliant on the original decision-maker and have access to a transparent and impartial appeals process.

Renewal and Revocation of Residence Permits

Residence permits will generally be valid for one year and may be renewed where the relevant conditions continue to be satisfied.

The Regulations also provide for permits to be refused, revoked or not renewed in certain circumstances, including where the holder ceases to satisfy the relevant conditions, ceases making tax or social insurance contributions, fails to disclose accurate information, fails to notify material changes in circumstances or engages in residence fraud.

In the employment context, a residence permit will automatically be revoked 16 weeks after a notice of termination of terms of engagement is filed with the Department of Employment unless the Authority is satisfied that the individual has secured a new qualifying employment contract.

Fees

The application fee for a residence permit is £250. The renewal fee is £20. These fees also apply in respect of qualifying family members included within an application.

Category 2 and HEPSS

The Regulations are principally concerned with the introduction of a new residence permit framework and do not expressly amend the existing Category 2 or High Executive Possessing Specialist Skills (“HEPSS”) regimes. Accordingly, it appears that those regimes will continue to operate separately from the new residence permit framework, with the existing legislative requirements applicable to those regimes remaining unchanged. The Regulations themselves are focused on the creation of a new residence permit system and do not contain provisions specifically directed at Category 2 or HEPSS status.

This is likely to be of particular interest to existing and prospective Category 2 and HEPSS applicants, as the age, earnings and employment requirements introduced by the Regulations do not form part of those specialist tax regimes. However, given the wider changes to Gibraltar’s residency framework, the practical interaction between the various residency and tax regimes is likely to become clearer as further guidance is issued and the new system is implemented in practice.

Individuals considering Category 2, HEPSS or other residency routes should therefore continue to obtain specific advice in relation to their particular circumstances, particularly where applications may involve both residency and tax considerations.

Looking Ahead

The Regulations represent a significant evolution of Gibraltar’s residency framework. By linking residence rights to employment, economic contribution, accommodation and regulatory compliance, the new regime seeks to strike a balance between supporting economic growth whilst ensuring effective control over residency rights.

The Regulations also introduce a number of important safeguards, including vetting requirements, accommodation controls, transitional provisions for existing residents, discretionary powers to address exceptional cases and formal appeal rights.

For employers, entrepreneurs, prospective residents and existing residents alike, understanding the new requirements will be essential as Gibraltar begins operating under its new Treaty-based residency framework. The practical implications of these changes are likely to be felt across a wide range of sectors and may have a significant impact on recruitment, workforce planning and future relocation decisions.

How ISOLAS Can Help

The introduction of the Residency Regulations 2026 represents one of the most significant changes to Gibraltar’s residency framework in recent years. The interaction between the new residence permit requirements, existing residency rights, employment arrangements, business activity and specialist regimes such as Category 2 and HEPSS will require careful consideration on a case by case basis.

ISOLAS regularly advises individuals, families, employers and businesses on Gibraltar immigration, residency and relocation matters. If you would like to discuss how the new Regulations may affect you, or require assistance with a residency, Category 2 or HEPSS application, please contact a member of our Private Client team.

 

Today’s provisional implementation of the UK – EU Treaty in respect of Gibraltar is a truly historic day and all parties should be congratulated for their perseverance in delivering this positive and dramatic change to the benefit of all people on both sides of the now redundant frontier.

Client Briefing — Gaming & Regulatory Team 

Gibraltar has become one of the first jurisdictions to establish a standalone regulatory regime for prediction markets, distinct from its traditional gambling licensing framework. The Prediction Market Regulations 2026 (LN.2026/176) came into force on 13 July 2026, made by the Minister with responsibility for gambling under sections 34 and 159 of the Gambling Act 2025. Operators, investors, and payment providers active in or considering entry into this fast-growing sector should take note of the framework’s key features and what it means in practice. For summary Q&A click here 

Overview of the New Framework

The Regulations create a dedicated category of regulated activity: “prediction market activity.” This is a deliberate and significant drafting choice. Rather than shoehorning event contracts and prediction markets into existing betting, gaming, or lottery definitions, the Regulations expressly provide that prediction market activity is not to be treated as betting, gaming, or a lottery solely by reason of its characteristics. This gives operators regulatory certainty that has been largely absent in other jurisdictions grappling with how to characterise these products, and positions Gibraltar as offering a purpose-built home for the sector rather than an awkward retrofit.

Authorisation and Exemption Regime

Part 2 of the Regulations establishes the gateway to market. Operators who hold a prediction market authorisation and are entered on the official register benefit from an exemption from the general prohibition on unlicensed gambling-related activity in section 26 of the Gambling Act 2025.
Authorisation is granted by the Licensing Authority where it is satisfied that an applicant meets the core conditions in Schedule 2. These include the familiar pillars of Gibraltar’s regulatory approach:

– Fit and proper status of the applicant and its controllers;

– Substantive presence in Gibraltar, consistent with the jurisdiction’s long-standing “mind and management” expectations for licensed operators;

– Adequate resources, both financial and non-financial, to conduct the business responsibly.

Importantly, this authorisation sits outside and is distinct from the standard gambling licence issued under Part 4 of the Act. Existing Gibraltar gambling licensees will not automatically be entitled to carry on prediction market activity and will need to apply for authorisation in its own right, while new entrants whose business is purely prediction markets can seek authorisation without needing a general gambling licence.

Contract Requirements and Market Integrity

Part 3 focuses on the product itself. Authorised operators may only list prediction market contracts that have been approved by the Authority, or certified under approved arrangements. Operators are required to maintain robust contract rules and ensure that settlement sources are reliable, transparent, and resistant to manipulation a clear response to concerns, raised in other markets, about the integrity of resolution sources for event-based contracts.

Part 4 layers on ongoing conduct requirements that will be familiar in substance, if not in application, to gambling and financial services operators alike:

– Market integrity controls designed to prevent insider dealing and market manipulation;
– Management of conflicts of interest;
– Safeguarding of client money; and
– Compliance with anti-money laundering and sanctions legislation.

Notably, the Regulations expressly permit the use of digital asset payments, including stablecoins, for funding accounts and settling contracts. This is a forward-looking feature that will be of particular interest to operators built on crypto-native rails, and reflects Gibraltar’s broader positioning as a hub for both gaming and digital asset businesses under its Distributed Ledger Technology framework.

Supervision, Enforcement, and Appeals

Day-to-day supervision of authorised operators falls to the Gibraltar Gambling Commissioner, who is given modified versions of the Gambling Act 2025’s information-gathering, investigatory, and sanctioning powers for this purpose. This ensures a degree of continuity with the compliance culture operators will already be familiar with under Gibraltar’s gambling regime, while tailoring the toolkit to the specific risks presented by prediction markets.

Decisions of the Authority or the Commissioner are appealable to the Supreme Court of Gibraltar and must be brought within 28 days of service of the relevant decision. Operators should note, however, that certain decisions are excluded from this appeal right most significantly, an initial refusal to grant authorisation is not itself appealable, which places a premium on getting the application right first time.

What This Means for Operators

For prediction market operators currently operating offshore, under ambiguous regulatory status, or considering a European or internationally recognised base, Gibraltar’s new framework offers a rare combination: bespoke legal characterisation that avoids the definitional disputes seen elsewhere, a regulator with decades of gambling-sector supervisory experience, and explicit accommodation of digital asset settlement. At the same time, the substantive presence requirement and the fit-and-proper threshold mean this is not a light-touch or purely nominal regime applicants should expect the same level of scrutiny associated with Gibraltar’s established gambling licensing process.

Businesses considering an application, or existing Gibraltar licensees looking to expand into prediction market activity, should begin preparing early. Key considerations include structuring for the substantive presence requirement, designing contract rules and settlement source arrangements capable of satisfying the Authority, and ensuring AML/CTF and client money frameworks meet the Part 4 standard from day one.

This briefing is for general information purposes only and does not constitute legal advice. For advice on the Prediction Market Regulations 2026 and how they may apply to your business, please contact Steven Caetano or a member of our Gaming & Regulatory team.

Full text of the legislation: Prediction Market Regulations 2026 LN.2026/176)

https://www.gibraltarlaws.gov.gi/legislations/prediction-market-regulations-2026-8541

 

ISOLAS LLP is delighted to announce that Partner, Adrian Pilcher, has been selected as a finalist in the STEP Private Client Awards in the Trusted Adviser Category.

STEP is the internationally recognised professional body for trust and estate practitioners, setting global standards in the field. This recognition reflects both Adrian’s expertise and the strength of ISOLAS’ Private Client practice. We congratulate Adrian on this well-deserved achievement.

Adrian shared his thoughts below:

“I am deeply honoured to have been named a finalist in the STEP Awards in the Trusted Adviser Category. As the world’s leading and most internationally respected professional body for trust and estate practitioners, STEP represents the very highest standards of excellence in our profession.

To be acknowledged alongside such accomplished individuals and firms from across the globe is both humbling and rewarding.

While this nomination bears my name, it is very much a reflection of the outstanding team I am privileged to work with at ISOLAS. Their expertise, dedication, professionalism and unwavering support have been instrumental in making this achievement possible. I am sincerely grateful to my colleagues, whose commitment to delivering exceptional service to our clients inspires me every day.

Reaching the finalist stage is a tremendous honour in itself, and I am proud to share this recognition with the entire team.”

In a move that has been widely welcomed, Spain has now formally removed Gibraltar from its list of non-cooperative jurisdictions, bringing to an end a designation that had been in place since 1991.

The delisting follows the International Agreement on Taxation and the Protection of Financial Interests between the United Kingdom and Spain regarding Gibraltar (commonly referred to as the Gibraltar-Spain Tax Agreement), which entered into force in 2021. The Agreement established a framework for tax cooperation and transparency between Gibraltar and Spain and removed the basis upon which Spain had continued to maintain Gibraltar on the list.

Whilst the announcement is significant in its own right, its practical implications may be even more important. Gibraltar’s inclusion on the list was referenced throughout various areas of Spanish tax legislation and could result in enhanced scrutiny and the application of certain restrictions and anti-avoidance provisions in cross-border scenarios.
Its removal therefore has the potential to reduce a number of the historical frictions affecting individuals and businesses with connections to both Gibraltar and Spain.

Although the precise implications will depend on the relevant facts and circumstances, the removal of Gibraltar from the list is likely to be relevant wherever Spanish tax rules have historically applied by reference to Gibraltar’s classification as a non-cooperative jurisdiction. Businesses and individuals with existing cross-border arrangements may therefore wish to revisit long-standing assumptions in light of this development, including the potential application of anti-avoidance provisions, exemptions and reliefs under Spanish domestic law.

Viewed alongside the recent agreement on Gibraltar’s future relationship with the European Union, which is expected to facilitate the removal of the physical frontier between Gibraltar and Spain, the delisting represents a further step towards reducing historical barriers to cross-border movement and economic activity. As a firm that regularly works alongside Spanish advisers on Gibraltar-Spain cross-border matters, we expect many clients to be considering the practical implications of these changes in the months ahead.

ISOLAS LLP was pleased to host a briefing on AI, GDPR and the EU AI Act, delivered by Partner James Montado and Senior Associate James Castle. 

As artificial intelligence continues to be increasingly adopted across professional services, understanding the evolving regulatory and governance framework is becoming essential for businesses, advisers, and boards alike. 

The session generated strong engagement and discussion, reflecting the high level of interest in this topic across the business and professional community. 

The briefing provided valuable insight into the developing compliance landscape, along with practical considerations for organisations as AI regulation continues to take shape across Europe. 

Due to oversubscription, a second session will be held on Thursday 2nd July at 9:30am. To register your interest, please email events@isolas.gi.

The Government of Gibraltar has published the new residency criteria designed to ensure that applicants demonstrate a genuine economic connection to the jurisdiction, while safeguarding public resources and promoting sustainable growth.

1. Core Eligibility Requirements
Individuals applying for a residence permit must satisfy the following criteria:

• Employment: Applicants must hold a valid employment contract with a Gibraltar-based business, which has been trading for at least a year and is properly established, registered, licensed, and compliant with its regulatory and tax obligations.
• Minimum Earnings: The contract must generally reflect earnings aligned with the average gross annual salary in Gibraltar (currently indicated at approximately £37,500, subject to annual updates).
• Minimum Salary Waiver: If the applicant is below 30 years of age, the requirement to have a minimum annual salary aligned with the average gross annual salary of Gibraltar (£37,500 subject to annual updates) may be waived if the employer pays the tax and social insurance contributions as if the employee’s salary were the gross annual earnings in Gibraltar as per the Employment Survey of that year.
• Accommodation: Applicants must evidence suitable accommodation in Gibraltar, either through ownership or a long-term rental (minimum 12 months), which must serve as their primary residence. If the primary residence/property is purchased, it cannot be let during the duration of the residence permit and must be legitimately available for the applicant’s exclusive use during that period.
• Age Requirement: Applicants are generally required to be aged 55 or under, subject to limited discretion.
• Vetting: A formal vetting process from the applicant’s country of origin is required.

2. Additional Requirements for Businesses operating for less than a year or self-employed Individuals

Where an applicant is connected to a newer business or is self-employed, the following requirements will apply:

• An advanced payment will be required equivalent to the following:
a. Total employee and employer social insurance contributions for the first year of employment; and
b. The total tax payable on the equivalent of the average gross annual earnings in Gibraltar, taxable at 25%.

3. Business Registration Requirements

• For a business to obtain registration under the Business, Trades and Professions (Registration) Act and licensed under the Fair-Trading Act, the CEO of the Department of Business may have regard to factors which may include:

o The creation of full time or part time employment in Gibraltar;
o The provision of in-demand skills required in the jurisdiction;
o The rental of suitable office or commercial space in Gibraltar;
o A positive tax filing history; and
o The future generation of economic activity in Gibraltar.

4. Anti-Avoidance and Monitoring Measures

The proposed regime includes the following safeguarding measures:

• Employment terms will be monitored to ensure that salary levels are not reduced after a permit is granted without reasonable justification.
• Authorities will verify that employers remain compliant with all financial and regulatory obligations.

5. Renewal and Ongoing Conditions

Residence permits are not indefinite and are subject to continued compliance:

• Permits will be renewable annually, requiring confirmation that all eligibility criteria continue to be met.
• A permit may lapse automatically 8 weeks after the filing of a Notice of Termination of Terms of Engagement, unless a new employment contract has been filed.
• If payments of tax or social insurance are stopped, unless the employee can produce evidence that payments have been deducted from their salary but not paid by the employer, their residence permit will automatically lapse.

6. Benefits of Residence

Gibraltar residence provides limited but important entitlements:

• Healthcare

• Schooling in Gibraltar for any children under the age of 18, unless in full time education

• A scholarship for any dependent child after 10 years of continuous lawful residence and uninterrupted payment of tax and social insurance

7. Restrictions on Social Benefits

Residents will not generally be entitled to:

• Public housing or affordable housing
• Elderly residential care or domiciliary care
• Berths in the Small Boats Marina (or any other Government Berthing Scheme)
• Other wider social benefits

Only residents who are British Citizens and have a period of 20 years of residence will then be able to apply for Gibraltarian Status and access all services.

8. Partners of Individuals

Unmarried partners of an individual with Gibraltarian Status shall be permitted to reside in Gibraltar where evidence is provided of a relationship of a minimum period of 2 years.

Additionally, any individual who is applying for residence in Gibraltar wishes for their spouse to reside with them shall pay an amount equivalent to the maximum employee’s social insurance contributions to the Government of Gibraltar on behalf of their spouse.

Individuals applying for residence may only be accompanied by their spouse and/or children.

9. Transitional Provisions

• Individuals already resident in Gibraltar prior to 6 October 2025 will remain subject to the current regime.
• The new criteria will primarily affect new applicants.

10. Fines

Individuals residing in Gibraltar without a Permit of Residence may be imposed a fine of up to £2,500.

11. Category 2 Status and High Executive Possessing Specialist Skills (HEPSS)

It should be noted that the above residency criteria do not apply to individuals holding, or applying under, Category 2 Status or HEPSS. These regimes remain unchanged and, as we understand it, the existing residence requirements applicable to Category 2 and HEPSS individuals continue to apply independently of the new rules.

Partner Emma Lejeune attended the 3rd Annual Private Client Advisory & Litigation Forum in Versailles, a leading international forum for advisers, litigators, trustees and family office professionals in the private wealth sector.

The forum addressed key themes in international private wealth, including succession planning, governance, cross-border structuring and developments affecting complex private client matters.

Emma’s engagement reflects her continued focus on cross-border private client matters, including issues relating to families, governance, trusts, estates and fiduciary structures.

Commenting on the event, Emma said:
“The value of this forum lies not only in the topics discussed at each panel session but more generally, in the quality of discussion with practitioners from different jurisdictions. Many of the issues affecting private clients are inherently cross-border, and these conversations provide important insight into emerging risks and approaches.”

ISOLAS continues to engage actively in leading international discussions on private client and wealth structuring matters.