ISOLAS welcomes students to its annual summer placement, known as its Summer Legal Scheme. This year’s scheme will run for two weeks of July, during which a total of 11 University students interested in pursuing a career in law, shall undertake a placement at the firm. We also look forward to welcoming our Micro Summer Legal Scheme students who are in their AS and A level years, for two days next week where we will provide them with an introduction to a career in law in Gibraltar.

The scheme has been designed by Managing Associate Nick Isola and Senior Associates Danielle Victor and James Castle, with the aim of testing and developing students’ legal skills while providing valuable insight into the legal profession.

During their placement, students will engage in a range of practical exercises designed to develop key legal skills. These include contract drafting, participating in advocacy tasks, conducting negotiation simulations, undertaking client interview scenarios, and performing legal research.

The exercises cover a broad spectrum of practice areas such as civil and criminal litigation, corporate, commercial, DLT, employment, property, tax, and private client matters — providing students with valuable exposure to the kind of work they may encounter in a legal career.

The Government of Gibraltar has recently published draft legislation proposing changes to the tax exemption on employer-provided accommodation.

The reforms are designed to refine eligibility, introduce a formal application process, and align the relief with Gibraltar’s goal of attracting specialised international talent.

ISOLAS Partner Stuart DALMEDO breaks down the key proposals and what employers should be considering now here

For further information or specific guidance contact Stuart directly.

The new Gambling Act has been published and will introduce a modernised framework for licensing and regulation of the gambling industry in Gibraltar.

ISOLAS Partner Steven Caetano summarises the key changes and new licence types/fees here

For further information or specific guidance contact Steven directly.

The Partners of ISOLAS LLP are delighted to announce the appointment of Katrina Isola and James Castle as Senior Associates, in recognition of their outstanding contributions and continued professional growth within the firm.

Katrina has quickly earned a solid reputation having worked with Partners Sarah Bray and Emma Lejeune in many of Gibraltar’s major property developments as well as with the firm’s significant private client practice. She has worked with and advised banks, investors, trustees and private clients as well as real estate businesses.

James is highly regarded in the firm and works alongside, James Montado, one of Gibraltar’s leading litigation partners, on a broad range of contentious matters, with particular focus on trust and insolvency. He is also involved in non-contentious financial services work, regularly advising liquidators, regulatory authorities, and large corporates on complex legal issues.
Peter Isola Senior Partner at ISOLAS LLP, commented: “I am delighted the Partners have unanimously agreed to these appointments. Katrina and James have consistently demonstrated excellence in their work and are truly deserving of this appointment. I look forward to continuing to work alongside them as they further strengthen our firm.”

CEO Marcus Killick, at ISOLAS LLP, added: “We remain dedicated to investing in our people and supporting their professional growth. These well-earned promotions reflect the dedication and talent of Katrina and James, both of whom reflect our values and commitment to meeting our clients’ needs. They act as both role models for and reflections of the Firm’s commitment to the next generation of legal professionals.”

ISOLAS LLP hosted another successful breakfast briefing last week at our offices, attracting over 70 professionals from across Gibraltar’s business community, both in person and online.

The seminar, titled “Managing ill Health”, explored a critical area upon which we frequently advise and which impacts all sectors.

Samantha Grimes, Partner at ISOLAS and a leading expert in Gibraltar employment law, was joined by Senior Associate Danielle Victor, who presented an overview of the legal framework surrounding both long- and short-term employee absences.

Following an engaging presentation attendees discussed best practices through real case studies followed by a Q&A session.

“It was an opportunity to reinforce the importance of understanding our legal responsibilities, so as to ensure a working knowledge of appropriate procedures when managing ill health whilst also ensuring clear communication throughout,” said Danielle Victor following the session.

Partner Samantha Grimes added: “The overwhelming response to this event proved the topic to be on point, attracting professionals from a wide range of industry sectors. At ISOLAS, we remain committed to supporting Gibraltar’s business community with timely and practical legal insights.”

Details of the next seminar will be announced soon.

 

Artificial Intelligence (‘AI’) is a rapidly growing field with the potential to significantly revolutionise the way in which we both live and work. AI has already begun reshaping the global economy; influencing everything from financial services to healthcare and the legal profession. Nevertheless, as this new technology evolves and grows, so too does the associated risks and by default, need for regulation. This need has already been recognised by the Chief Minister of the Government in Gibraltar, who, in December 2023, stated that the Government intended to regulate the use of AI in Gibraltar. Indeed, all around the world jurisdictions are racing to set global standards in the regulation of AI, none more so than the EU, with their EU AI Act which entered into force on 1 August 2024. In the United Kingdom, the House of Lords recently rejected some of the proposed amendments to the Data (Use and Access) Bill. The Lords argued for more protection for artists from AI, resulting in a defeat for the British Government. Undoubtedly, therefore, in the global developing response, Gibraltar has an opportunity to position itself as a progressive jurisdiction, by implementing a bespoke, dynamic approach to AI regulation.

It must not be forgotten that AI Regulation is essential for numerous reasons, including but not limited to; the maintenance of fundamental rights, the risk of reputational damage for Gibraltar-based firms that operate globally and timely market opportunities to attract ethical AI developers who seek clear legal certainty. Historically, Gibraltar has successfully leveraged its regulatory agility, becoming a leader in innovative legal frameworks. For example, in January 2018, Gibraltar introduced its Distributed Ledger Technology Regulatory Framework. This was one of the world’s first purpose-built regulatory frameworks for businesses using blockchain or DLT and provided much needed legal certainty for businesses. In a similar vein, Gibraltar has established itself as a leading, and reputable centre for both online gaming and financial services. It has done so using clear, and consistent regulation. It is this innovative, ambitious approach to regulation that makes Gibraltar well-equipped to develop a successful AI regulatory model.

When crafting its regulatory framework, Gibraltar could follow a model similar to that of the EU AI Act. The EU AI Act operates on a risk-based classification system. The classifications include prohibitions on the use of certain AI systems, such as those that make use of social scoring, those that use emotion recognition in the workplace and also forms of AI that exploit vulnerabilities. The EU AI Act then classifies high-risk systems, such as ones of which are not strictly prohibited, but are subject to strict legal obligations; including human oversight and technical documentation to allow for regulatory and audit reviews. Gibraltar may follow in the EU AI Acts footsteps, or alternatively, provide a lighter, more innovation focused approach. Indeed one of the most common debates within AI regulatory circles is the extent of which to regulate. Over regulation arguably stifles development, technological advancement and risks leaving a jurisdiction behind when it comes to global competitiveness and economic growth. Conversely, a lack of regulation could result in significant breaches of privacy, discriminatory profiling and the worrying use of deepfakes for malicious purposes such as election interference.

The exponential growth of AI, and its fast deployment presents both risks and opportunities, particularly for progressive jurisdictions like Gibraltar. Considering our track record in areas such as DLT and online gaming, Gibraltar is well-positioned to find that perfect balance between innovation and safety in order to be the first once more to impact a new emerging sector. Gibraltar need only engage with stakeholders and learn from the ongoing global developments and challenges, so that we may not just regulate AI responsibly, but effectively. Such an opportunity is ripe for the taking, enabling us to once more attract ethical developers whilst equally maintaining public safety.

After years of gruelling negotiations, it was announced today that the the terms of a future treaty between the EU and UK in respect of Gibraltar have been agreed. A Joint Statement from the UK, European Commission, Spain and Gibraltar says:

“The main objective of the future Agreement is to secure the future prosperity of the whole region. This will be done by removing all physical barriers, checks and controls on persons and goods circulating between Spain and Gibraltar, while preserving the Schengen area, the EU Single Market and Customs Union.”

The Joint Statement also emphasises that the Agreement will be:

“without prejudice to the respective legal positions of Spain and the United Kingdom with regard to sovereignty and jurisdiction.”

As is well known, the governments of Spain and Gibraltar have been active participants in the negotiating process, and their agreement on the outcome has been treated as indispensable by the EU and UK respectively.

Ever since Spain ceded Gibraltar to the UK in 1713, relations between the territories have often been characterised by mutual distrust. At times the relationship has been highly acrimonious, especially whenever Spain has intensified its efforts to recover Gibraltar by military or political means. The fact that the parties have reached agreement on the movement of persons and goods across the Gibraltar/Spain border is therefore a historic diplomatic achievement.

The legal text is not yet finalised, but according to the Joint Statement the Agreement will include provisions on:

• The movement of persons. The physical infrastructure of the Gibraltar border will be removed, and Gibraltar will effectively be incorporated into the Schengen zone. This will entail dual checks at Gibraltar port and airport, with Schengen checks being carried out by Spain, and on the Gibraltar side checks continuing as they are today.

• The movement of goods. Gibraltar and the EU will form a customs union, thus removing the need for checks on goods. Principles of indirect taxation will also be applied to Gibraltar.

• Level playing field. The Agreement will include “level playing field” commitments across a range of areas (State aid, taxation, labour, environment, trade and sustainable development, anti-money laundering, transport, the rights of frontier workers and social security coordination). It will also include commitments on cooperation in environmental and other matters.

A fluid border for people and goods will bring immediate benefits to residents of Gibraltar and the Campo de Gibraltar. In the longer term, the deal could unlock significant social, economic and cultural opportunities.

The Agreement will not come into force until it has been signed and ratified by the parties according to their “internal procedures”. On the UK side, these internal procedures will presumably include a requirement for approval by the Gibraltar Parliament.

This week also saw another significant (if less momentous) development: the removal of Gibraltar from the EU Commission’s list of high-risk jurisdictions. This follows from the whitelisting of Gibraltar by the FATF last year. Gibraltar’s removal from Spain’s list of ‘non-cooperative jurisdictions’ (formerly labelled as tax havens / ‘paraisos fiscales’) is surely long overdue.

If you require advice on how the treaty may affect you or your business, please do not hesitate to contact us.

ISOLAS LLP is proud to participate in this year’s KPMG eSummit 2025, an event that brings together industry leaders to explore the shifting dynamics of Crypto, ESG, and LATAM markets.

Senior Partner, The Hon Albert Isola CBE, will introduce and moderate the panel discussion “Decrypting the Myths about Crypto & Gaming.” Albert’s strategic leadership has played a pivotal role in attracting major gaming operators to Gibraltar, significantly contributing to the jurisdiction’s economic growth. His forward-thinking vision and collaborative approach have earned him recognition both locally and internationally.

Partner Steven Caetano will take part in a separate panel titled “M&A – The Legal Perspective.” With nearly two decades of experience in e-gaming, M&A, and corporate law, Steven is a trusted advisor to international gaming operators. He works closely in advising clients on Gibraltar’s regulatory framework, licensing processes, change of control matters, best practices, and corporate compliance.

Associate Katrina Isola will also represent ISOLAS on the panel “Is ESG Sustainable?” Her participation reflects the firm’s growing involvement in ESG matters and its commitment to driving responsible business practices across the industry.

These summits are always a resounding success, bringing together local and international experts for a day of insightful discussions, collaboration, and innovation.

The Gibraltar Funds & Investments Association (GFIA) hosted a superb Gala Dinner yesterday evening at the spectacular Alameda Gardens, bringing together leading professionals from Gibraltar’s financial and investment sectors.
The evening heard from our Partner Jonathan Garcia, Chair of GFIA who highlighted the work of GFIA in developing the Jurisdiction further and celebrated the work of the sector looking forward to the year ahead.

Minister Nigel Feetham KC MP addressed the gathering followed by Gemma Arias-Vasquez who represented the Chief Minister who is away on Treaty business.

A significant highlight of the evening was the presence of jeanette ochello representing the evenings chosen charity Gibraltar Alzheimer’s & Dementia Society.

A great evening bringing everyone together and special thanks to Bullish, and A.M. Capurro the evenings title sponsors.

ISOLAS LLP are proud to be part of a working group alongside the HM Government of Gibraltar, The Hon Nigel Feetham KC MP, the Gibraltar Financial Services Commission, and industry leader Bullish – that will develop the world’s first regulatory approach to crypto clearing, applying existing financial services principles to a new kind of market activity.

Read more in the official announcement from Bullish here:

This initiative marks a significant milestone in building on Gibraltar’s established regime to regulate clearing activity for digital assets, mirroring structures found in traditional finance but tailored to the nuances of the digital asset space.

Our involvement underscores ISOLAS LLP’s commitment to shaping the future of fintech and blockchain regulation.

To help explain why this matters, we have created a short video featuring our Senior Partner, The Hon Albert Isola CBE, former Minister for Digital and Financial Services, sharing insights on this first-of-its-kind development.