Gibraltar-based online gambling operators will remain committed to their operations, despite fears that the Rock will be the British Overseas Territory to suffer the most from the exit vote, Minister for Financial Services and Gaming Albert Isola told local media.
Last week, a referendum was held on whether the United Kingdom should leave the European Union. The majority of votes showed support for the nation’s exit and there is no doubt that the most frequently asked question has ever since been “What is going to happen now?”
It is too early to say how exactly Brexit would affect the iGaming industry. There is still fog of confusion hovering over and it is as if no one is brave enough to provide a firm and at least partially adequate prognosis as to how the business would be impacted.
However, concerns have been voiced by industry experts that Gibraltar would be the jurisdiction to be the most severely hit by the exit vote and particularly its remote gambling industry.
The Rock is a tax haven for online gambling companies as these are levied at 1% of their turnover. With the UK out of the EU, operators may face serious challenges in providing their services to Member States, due to the fact that some countries have strict regulations regarding who can operate remote gambling options within their borders.
However, Minister Isola reassured that he has spoken personally with every single gambling company based in Gibraltar and that they have indicated they would remain fully committed to the local remote gaming industry. According to the official, several companies have even pointed out that they are considering expansion, including recruiting staff and leasing new offices.
Minister Isola also noted that Gibraltar’s Government will continue working closely with the UK Government to make sure that there will be little or no change at all for those living or traveling to the Rock.
Earlier this year, the Gambling Act Review was published and it is in a consultation stage now. The Gibraltar Minister for Gaming said in his statement to media that the legislation will most certainly be proceeded and expanded so as for local gambling regulations, as well as licensing, and taxation procedures to remain fit.
Currently, there are more than 30 gambling groups to have based their remote gaming operations in Gibraltar, with some of these being bwin.party, William Hill, and Ladbrokes.
