Gaming, One of the Most Prolific Industries in Gibraltar
The gaming industry has become one of the most attractive sectors of Gibraltar’s economy, according to the Minister for Financial Services and Gaming. The last five years have brought a surprising development of this sector, which is why it has also made a significant contribution to the small territory’s revenue and made its way into the recently announced 2016 Budget. Our company formation representatives in Gibraltar can assist foreign enterprises who want to invest in the gaming industry.
The new legislation has helped the gaming sector in Gibraltar
The last years have brought a significant overall increase in Gibraltar’s economy, with the gaming industry playing a major role. Among the factors helping the gaming sector were the new legislation and licensing requirements, but also the taxes imposed by other states on gambling activities which have chased away most of the investors from those countries. As a response, they have chosen to relocate their businesses in Gibraltar. Between 2015 and 2016 alone 6 large foreign companies have applied for gaming licenses in Gibraltar, according to statistics
Gambling Act could suffer alterations in the future
When announcing the renewed 2016 Budget, the Government also announced a greater support for the development of this industry. The Minister for Financial Services and Gaming also declared that the Gaming Law which was last amended in 2005 could be modified in order to maintain Gibraltar on top of foreign investors’ preferences. For this purpose, the Minister has started discussing with the industry’s representatives in order to identify their expectations which will be taken into consideration upon the alterations brought to the law.
At the moment, the Gibraltar Betting and Gaming Association has filed a complaint with the European Court of Justice related to the UK’s consumption tax imposed to gaming activities. This also the main reason for the delay of the revision of the Gaming Law. The Government wants to waits for the Court’s ruling before starting to make any amendments, especially since several tax changes are also targeted.
For complete information on the gaming laws and taxation of gambling activities on the Rock, please contact our Gibraltar company registration representatives.