Here is a practical explainer of who qualifies, on what basis, and what the process will look like going forward.

The Routes to Residency

The Regulations set out six main routes through which a person may apply for a residence permit in Gibraltar: as an employee, as a self-employed individual, as a student, as a Crown Servant or member of HM Armed Forces, as an existing resident, or as a permanent resident.

Employees

To qualify as an employee, an applicant must hold an employment contract of at least one year, under which their gross annual earnings are no less than the average gross annual earnings in Gibraltar, which is currently £37,500. Their employer must be trading in Gibraltar, fully licensed under the Fair Trading Act 2023 or appropriately regulated, and must have complied with all due payments and filings.

Applicants must also be aged 55 or under, provide evidence of a purchase or rental agreement for a property in Gibraltar to be used as their primary residence, and be fully vetted by the relevant authorities of the country in which they were most recently habitually resident.

On the accommodation point, the Regulations are specific: rental agreements must be for at least 12 months, must not be holiday lets, and must reflect a genuine commercial arrangement. Vessel-based living will not satisfy the requirement for new applicants, though those who were already residing on a vessel before the Regulations came into force are exempt.

Two waivers are available on the salary threshold. The Chief Minister may waive it where an applicant possesses skills important to Gibraltar’s economic development, or where they belong to a sector with a demonstrable shortage of labour or skills, and this discretion may be exercised across an entire sector rather than on a case-by-case basis. Separately, the Authority may waive the threshold for applicants under 30, provided their employer pays a deposit covering the equivalent social insurance contributions and 25% of the average gross annual earnings.

New Employers

Where an employer has been trading or regulated in Gibraltar for less than a year, the Regulations impose an additional requirement: the employer must pay a deposit to the Government before the Authority will process the application. That deposit covers the total employee and employer social insurance contributions for the first year of employment, plus an amount equivalent to 25% of the average gross annual earnings in Gibraltar.

The deposit may be set off against any liabilities the employer owes to the Government, with any remainder returned on cessation of the business. There is a mechanism for reducing the deposit where the number of employees required to provide deposits would otherwise be so great as to stifle the business, or where there is a legitimate and justifiable reason in Gibraltar’s interests. If a residence application is unsuccessful, the deposit is refunded within 30 days.

Self-Employed Individuals

The conditions for self-employed applicants broadly mirror those for employees: average gross annual earnings at or above the Gibraltar threshold, appropriate accommodation, age 55 or under, eligibility to be licensed or regulated in Gibraltar if required, and full vetting. The Chief Minister retains the same discretion to waive the earnings or age requirements where the applicant’s skills or sector warrant it.

Applicants who have not previously been registered as self-employed in Gibraltar must pay a deposit before their application will be processed, covering the first year’s social insurance contributions plus 25% of the average gross annual earnings. As with new employers, this deposit may be reduced in justifiable circumstances, and is refunded if the application is unsuccessful.

Students and Other Categories

Students accepted for full-time enrolment at the University of Gibraltar qualify for a residence permit for the duration of their studies. Crown Servants, members of HM Armed Forces posted to Gibraltar, Gibraltar Government employees, and their entitled dependants also qualify, with permits valid for a period determined by the Authority having regard to the length of any intended tour of duty.

Existing and Permanent Residents

Those who already held a valid civilian registration card under the Immigration, Asylum and Refugee Act qualify for a residence permit under the same conditions that applied before the new Regulations came into force, provided they can demonstrate six months of continuous and lawful residence in Gibraltar immediately preceding the application. The Authority may waive this continuity requirement where an absence was due to military service, pregnancy, childbirth, serious illness, study, vocational training, or an overseas posting.

A separate discretionary route exists for those who were resident in Gibraltar before the previous residency arrangements were suspended, but had not yet obtained a residence document or valid civilian registration card. The Chief Minister may, in his absolute discretion, issue a residence permit to such individuals under the conditions that applied prior to the suspension. No criteria are prescribed for how this discretion will be exercised.

Those who already hold permanent residence are also protected: they qualify for a permit directly, though permanent residence can be lost through an absence from Gibraltar of two years or more.

Family Members

Spouses or civil partners, children under 18, and children over 18 in full-time education may all be included in an employee’s, self-employed individual’s, or student’s application. Each family member over 18 must be independently vetted. Where a spouse or civil partner is included, the applicant must pay an additional deposit equivalent to the total social insurance contributions payable under their employment contract for the first year.

Unmarried partners of Gibraltarians may also qualify, provided the Authority is satisfied that they are in a genuine and durable relationship of at least two years, one that is not based solely or primarily on remote or online communication.

Validity, Renewal and Revocation

Residence permits are valid for one year and must be renewed annually. At renewal, employees must continue to satisfy the earnings and accommodation requirements, though the age 55 cap does will no longer apply at that stage. The deposit requirements do not apply on renewal, with one exception: under-30 employees whose employer is paying salary deposits must continue to do so for each year the employee remains under 30.

A permit will automatically be revoked 16 weeks after a notice of termination of employment is filed with the Department of Employment, unless the Authority is satisfied that the holder has a new employment contract meeting the relevant requirements. Permits may also be refused, not renewed, or revoked on grounds of public policy, public security, or public health, or where the holder has ceased paying social insurance or income tax, no longer meets the conditions of their permit, or has engaged in address or residence fraud or assisted illegal migration.

Where a permit is revoked on the grounds of fraud or facilitation of illegal migration, the former holder is barred from applying for a new permit for five years, unless the Chief Minister directs otherwise.

Fees and Penalties

The application fee for a new residence permit is £250, and the renewal fee is £20, the same fees apply to each family member included in an application. Residing in Gibraltar without a valid permit carries an administrative penalty of £2,500, payable within 28 days, and the person concerned will be treated as an unauthorised person under the Immigration, Asylum and Refugee Act.

The Right to Appeal

The Regulations establish a new Residency Appeals Tribunal, consisting of a Chair and four other members appointed by the Chief Minister. Anyone aggrieved by a decision to refuse or revoke a residence permit may appeal to the Tribunal within seven days of being notified of the decision. Appeals are determined on the basis of written representations, unless the Chair considers it necessary to hear the appellant in person. The Tribunal may affirm, vary, or reverse the Authority’s decision and must give reasons for doing so.

It is worth noting that decisions taken under the Government’s discretionary power (regulation 15) and those arising from Schengen checks (regulation 20) fall outside the Tribunal’s jurisdiction and are not subject to this appeals process.

Discretionary Powers

Discretionary powers appear throughout the framework, the Chief Minister may waive salary and age thresholds, issue permits to individuals resident before the suspension who lacked documentation, direct that additional persons be treated as family members, and grant permits to anyone he considers to be of good character and in Gibraltar’s interests. The Government holds a similarly broad power to order the issue of a permit where it considers doing so to be in Gibraltar’s economic, reputational, cultural, or public interest.

Finding The Right Route

Navigating a new legal framework always raises questions that the document itself doesn’t answer. If you would like to discuss how the Residency Regulations apply to your specific situation, our team at Abacus would be delighted to help you.

The post Gibraltar’s Residency Regulations 2026: The New Legal Framework appeared first on Abacus.

In this episode of ABACAST, we welcome Grahame Jackson, Partner and Head of Tax at Hassans, for an insightful discussion on the evolution of Gibraltar’s tax and financial services landscape. Drawing on more than 20 years of experience, Grahame reflects on his journey from Liverpool to becoming one of Gibraltar’s leading tax professionals and shares his perspective on the major regulatory, economic, and professional changes that have shaped the jurisdiction.

The conversation explores the increasing complexity of international taxation, the transition from Gibraltar’s tax-exempt company era to today’s more sophisticated regulatory environment, and the growing importance of expertise, transparency, and professional excellence in maintaining Gibraltar’s competitiveness. Grahame also discusses global developments such as OECD initiatives, tax harmonisation, economic substance requirements, and the challenges and opportunities facing international finance centres.

Looking ahead, we examine Gibraltar’s future, including the potential impact of the UK-EU treaty, the evolution of cross-border business, and the importance of preserving Gibraltar’s unique identity while remaining competitive in a rapidly changing global market. A thoughtful and engaging discussion on tax, business, regulation, and the future of Gibraltar as an international financial centre.

The post ABACAST: Episode 11 – Grahame Jackson on Tax & Finance appeared first on Abacus.

The briefing was opened by Nigel Feetham KC MP, Minister for Justice, Trade and Industry, who has been closely associated with this legislation since first setting out his ambition for it at an international conference in Hong Kong earlier this year.

Nathan Catania, Partner at Xreg Consulting, then took attendees through the detail, presenting on the key aspects of the proposed legislation and its practical applications.

Our team was glad to attend, and the discussion gave a clear sense of where things are headed.

Why Tokenisation is Gaining Momentum

One of the most interesting parts of the briefing examined why fund tokenisation is becoming an increasingly important topic for the global investment industry.

While tokenisation has often been viewed as an emerging technology in search of a practical application, the presentation highlighted a growing body of evidence that suggests the opposite.

Among the advantages discussed were:

• Faster settlement: reducing subscription and redemption times from days to minutes and supporting round-the-clock markets.
• Programmability: allowing smart contracts to automate distributions, compliance checks and other administrative processes.
• Greater transparency: with distributed ledger technology providing an auditable register that can simplify regulatory reporting and investor record keeping.
• Fractionalisation: enabling broader access to investment opportunities through smaller minimum investment amounts.
• Improved collateral utility: allowing tokenised fund interests to be used more efficiently within digital financial markets.

Making the Legislation Work

Legislation, however well drafted, only becomes useful once the industry understands how to apply it. The PCC (Amendment) Bill 2026 introduces a new legal framework, enabling protected cell companies authorised as experienced investor funds to issue tokenised shares, and to maintain DLT-based share registers.

That process of translation is still very much underway. The Bill itself is still proceeding through the legislative process, so the practical detail discussed at sessions like this will continue to evolve.

We are following this legislation closely and are already considering what it means for the funds we administer. If you would like to discuss how tokenised fund structures might apply to your business, please do not hesitate to get in touch with us.

The post Inside the Gibraltar Finance Centre’s Briefing on Fund Tokenisation appeared first on Abacus.

At first glance, a master-feeder structure can sound technical. In practice, it is a straightforward way of allowing different investor groups to access the same underlying strategy.

A simple structure with a clear purpose

In a master-feeder arrangement, feeder funds raise capital from different groups of investors. Those feeders invest into a single master fund, and it is at master fund level where the actual investment activity takes place.

Rather than managing each investor group separately, capital is brought together into one pooled strategy. This allows the manager to operate more efficiently while ensuring all investors participate in the same underlying portfolio.

Why structure it this way?

One of the reasons these structures remain so widely used is that investors rarely fit into a single mould. Different investor groups may need to come through different feeder vehicles because of legal, regulatory, tax or reporting considerations, even when they are all investing into the same underlying strategy.

A master-feeder structure allows a manager to accommodate these differences at the feeder level, while keeping the investment strategy consistent at the core, enabling the manager to focus on what matters most: the investment strategy itself.

While a Gibraltar fund can allow direct investment from US investors, a fund manager may still prefer to group and segregate US investors from others for regulatory, tax, cost or other reasons. This can be achieved by establishing an “onshore” US feeder fund, which would then invest or “feed” into a Gibraltar master fund. As with any such arrangement, careful legal and structuring advice is key to ensuring the chosen structure is appropriate for the investor base and jurisdictions involved.

How the value flows

A key feature of this model is how performance is allocated.

Take a simple example:

• If one feeder owns 70% of the master fund
• And another owns 30%

Any profit or loss generated at the master level is allocated back to the feeders in those same proportions. This ensures each investor group receives its fair share of the underlying performance. It’s consistent, coherent and cost-efficient.

For the model to work properly, subscriptions, redemptions, ownership percentages and the allocation of profit and loss all need to be reflected accurately across both the feeders and the master fund. Even small timing or allocation errors can create inconsistencies in NAV calculations, which is why the support of a strong fund administration is such an important part of running these structures well.

Why it matters

The strength of a master-feeder structure lies in how it brings simplicity to what could otherwise become complex.

By separating investor-level considerations from the investment activity itself, managers can run a single, consistent strategy without needing to duplicate it across multiple vehicles.

In practice, this means fewer moving parts at portfolio level, clearer oversight, and a structure that can scale as new investor groups are added.

For managers operating across borders, this structure provides a practical way to accommodate different investor requirements without compromising the integrity of the investment approach.

In this context, a Gibraltar fund can play a flexible role within the structure, whether as a feeder or master fund, offering a well-regulated platform for accessing a broader international strategy.

Final thought

At its core, a master-feeder structure is not about adding layers, it is about removing friction.

Investors may come with different requirements, but the underlying strategy can remain the same.

When the structure is supported by strong administration and accurate allocation of value, it provides a clear, consistent and scalable framework for managing capital across different investor groups.

The post Master-Feeder Funds: One Strategy, Different Entry Points appeared first on Abacus.

What Is Changing?

Category 2 status is Gibraltar’s regime for high net worth individuals. Under the new changes, the minimum net wealth requirement for new applicants will rise from £2 million to £5 million, and the application fee will increase from £1,233 to £5,000.

With the UK-EU Treaty concerning Gibraltar’s future relationship with the European Union and Schengen area now agreed, the jurisdiction sees itself entering a period of renewed international attractiveness. The Government considers it appropriate that Category 2 status evolve alongside this and continue attracting individuals who want to make a meaningful contribution to the local economy.

Who Is Affected?

The changes apply only to new Category 2 applicants. Individuals who already hold Category 2 status are fully grandfathered and will not be affected.

A threshold of £5 million in net wealth, combined with a fee increase of more than four times the previous level, signals a clear intention to position Category 2 as a status for a narrower, wealthier pool of individuals.

What Category 2 Doesn’t Cover

Alongside the headline figures, the Government has used this announcement to restate a long-standing principle: Category 2 status does not, and will not, confer entitlement to publicly funded schooling or healthcare. The Government is keen to manage expectations clearly as the regime attracts renewed interest.

A more substantive change sits alongside that reaffirmation: an individual who does not maintain their Category 2 status will no longer have a right to continue residing in Gibraltar. This ties Category 2 status and the right to reside in Gibraltar together more explicitly than before, with clear implications for ongoing compliance.

The Bigger Picture

Minister for Justice, Trade and Industry Nigel Feetham has described this as a measured and targeted update rather than a wholesale overhaul, following a consultation process in which a broader range of reforms was considered, but ultimately set aside in favour of these specific changes. He has also pointed to the strong interest in Category 2 status since the Treaty announcement, describing the changes as a response to growing confidence in Gibraltar’s future, rather than an attempt to dampen demand.

Key Questions About Category 2 Status

What is the new minimum net wealth requirement for Category 2 status?

New applicants will need a minimum net wealth of £5 million, up from the previous £2 million threshold.

What is the new application fee?

The application fee rises from £1,233 to £5,000.

Does this affect existing Category 2 holders?

No. Existing Category 2 individuals are fully grandfathered and are not subject to the revised wealth threshold.

Does Category 2 status provide access to public healthcare or schooling?

No. The Government has reaffirmed that Category 2 status does not confer entitlement to publicly funded healthcare or schooling, consistent with the long-standing position.

What happens if Category 2 status is not maintained?

An individual who fails to maintain their Category 2 status will lose their right to continue residing in Gibraltar under the new rules.

Getting The Right Advice

At Abacus, we regularly support high net worth individuals and their advisers through Gibraltar’s Category 2 regime, from initial eligibility assessments through to ongoing compliance once status has been granted.

If you are weighing up whether the changes to the Category 2 regime still makes Gibraltar the right fit, please do not hesitate to get in touch with us.

The post Category 2 Status in Gibraltar: Government Announces Changes appeared first on Abacus.

The Government has published a new framework setting out exactly who qualifies for residency in Gibraltar, and on what basis.

The new Residence Criteria framework, announced this week, is designed to ensure that residency is grounded in genuine economic contribution and regulatory compliance, while protecting Gibraltar’s capacity to deliver public services to its existing community. For anyone currently resident in Gibraltar, considering relocation, or running a business that employs people locally, it is worth understanding what is changing and why.

What Is Changing?

The new framework introduces clearer and more transparent criteria for anyone applying for residence in Gibraltar. Applicants will need to demonstrate a genuine connection to Gibraltar through several specific factors: a qualifying employment contract or business activity, appropriate accommodation, ongoing tax and social insurance contributions, and continued compliance with Gibraltar’s laws and regulatory requirements.

In practice, this means residency will be more closely tied to what an individual is actually contributing to Gibraltar, whether through work, investment, or business activity, rather than residence being treated as a status in its own right.

Importantly, the new criteria are not retrospective in the way some may assume. Anyone who already held a Gibraltar Identity Card, or who obtained residence before 6 October 2025, is exempt from the new regime and will continue under the rules that applied at that time.

New Safeguards and Ongoing Compliance

The framework also introduces safeguards intended to protect the integrity of the system on an ongoing basis. This includes appropriate checks on both applicants and businesses, measures designed to prevent abuse, and clearer rules around how residence permits may be renewed, lapse, be suspended, or be revoked where the relevant conditions are no longer met.

Residence vs Gibraltarian Status: An Important Distinction

One of the more notable clarifications in the new framework is the distinction it draws between residence and Gibraltarian Status. While residents and their immediate family members will continue to benefit from access to core services such as healthcare and education, the framework makes clear that residence alone does not provide automatic access to the wider range of social benefits and services reserved for those who hold Gibraltarian Status.

Related changes are also being introduced to the eligibility rules for Gibraltarian Status for new residents. The underlying principle is that long-term access to the full range of rights and services in Gibraltar should follow a sustained period of residence and genuine contribution, rather than being available immediately upon arrival.

A Consultative Process

The Chief Minister has already engaged with the Leader of the Opposition on the proposals, while the Minister for Business, the Hon Gemma Arias-Vasquez, has consulted both the Gibraltar Chamber of Commerce and the Gibraltar Federation of Small Businesses in developing the framework.

The regulations that will give effect to the new framework are currently being drafted and are expected to be published shortly.

Why This Matters

Gibraltar’s appeal as a place to live and work has always rested on a combination of factors: a competitive tax environment, a strong business ecosystem, and a high quality of life. This framework has been set out to bring more structure and clarity to how residency is granted and maintained, which should ultimately benefit genuine applicants by making the process more predictable and transparent.

For businesses, particularly those that employ non-resident staff or are considering relocating personnel to Gibraltar, it’s well worth keeping a close eye on the regulations as they are published, to understand exactly how the new criteria will apply in practice.

Key Questions About The New Residence Criteria

What income will new residents need to qualify?

Applicants will need an employment contract paying at least the average gross annual earnings in Gibraltar, currently set at £37,500. The employer must also have been trading in or from Gibraltar for at least a year, be properly registered and licensed, and have all tax and regulatory filings up to date. Applicants must also be aged 55 or under and undergo official vetting from their country of origin.

Does this affect existing residents?

No. The new rules apply to those applying for residence after 6th October 2025. Anyone who held a Gibraltar Identity Card, or who became resident before that date, continues under the regime that applied at the time, including the existing 10-year route to Gibraltarian Status.

What are the accommodation requirements?

Applicants will need to rent or purchase residential property in Gibraltar for use as their primary residence. Rental agreements must run for at least 12 months, and holiday lets are not accepted. If the property is purchased, it cannot be let out and must remain available for the applicant’s exclusive use throughout the residence period. New applications based on living aboard a vessel will no longer be accepted, though anyone already resident on a vessel may continue to do so.

Are there any exceptions to the salary threshold?

Yes. Applicants under 30 may still qualify below the £37,500 threshold, provided their employer continues to pay tax and social insurance as though that salary level had been met. Separately, the Chief Minister has discretion to waive the threshold entirely for particular sectors where workers are typically paid below the average.

What if I’m self-employed, or my business is newly established?

Self-employed applicants and businesses that have been trading for less than a year will generally need to lodge a deposit covering the first year’s employee and employer social insurance contributions, plus tax on the average gross annual earnings figure at a rate of 25%. This deposit is returned upon cessation of business.

How long until I can apply for Gibraltarian Status?

Anyone applying for residency after 6 October 2025 will need 20 years of continuous residence before becoming eligible for Gibraltarian Status. Those already resident before that date retain the existing 10-year route.

What benefits will residents receive?

Residents, along with their spouse and children under 18, will have access to healthcare under the Group Practice Medical Scheme and schooling in Gibraltar. After 10 years of continuous lawful residence and uninterrupted tax and social insurance payments, a dependent child may also become eligible for a scholarship. However, residency alone does not extend to elderly residential care, domiciliary care, public or affordable housing, marina berths, or most other social benefits. These remain reserved for those with Gibraltarian Status.

Can my family join me?

Yes. Applicants may be accompanied by a spouse and children, though a contribution equivalent to the maximum employee social insurance amount must be paid on behalf of a spouse. Unmarried partners of individuals with Gibraltarian Status may also qualify to reside in Gibraltar, provided they can demonstrate a durable relationship of at least two years.

Is there a separate route for students?

Yes. Students at the University of Gibraltar are entitled to residence benefits for the duration of their studies, provided they make an annual contribution of £470 under the relevant medical scheme regulations. Their spouse and children under 18 may also benefit from residence (during the period in which they are a student at the Gibraltar University) on the same basis, provided each makes the equivalent contribution.

What are the costs involved?

Application fees will rise to £250, with annual renewals set at £100.

Does this affect Category 2 or HEPSS status holders?

Existing Category 2 individuals are unaffected by these changes and remain fully grandfathered under the current rules. For new applicants, however, Category 2 has just changed. The minimum net wealth requirement will rise from £2 million to £5 million. No changes have been announced to the HEPSS regime at this time. We will be publishing a dedicated article on these changes shortly.

When will the new regime take effect?

It has not yet been confirmed when it will come into effect. The framework will need further legislation, regulations, and guidance before it comes fully into force.

How Abacus Can Help

At Abacus, we work closely with individuals and businesses navigating Gibraltar’s residency and regulatory landscape. As the detailed regulations are published, we will continue to monitor developments and are happy to discuss what this framework may mean for you or your business.

If you have questions about your residence status, or are considering relocating to Gibraltar, please do not hesitate to get in touch with our team.

The post New Gibraltar Residency Framework Confirmed 2026 appeared first on Abacus.

In this episode of Abacast, we sat down with Heather Edwards to discuss her inspiring journey from studying dance to building a successful career in business development at ABACUS. Heather shares how stepping outside her comfort zone, embracing new opportunities, and continuously learning helped shape her professional path within the financial services industry. From starting on reception to progressing into business development and digital marketing, this conversation explores the importance of mindset, adaptability, confidence, and personal growth.

The post ABACAST: Episode 10 – From Dance to Business Development | Heather Edwards appeared first on Abacus.

Gibraltar has already taken its first steps in this area, issuing a licence to a prediction market operator under its existing gambling framework. It is a characteristically pragmatic move, and one that reflects the jurisdiction’s established ability to respond thoughtfully to innovative sectors, from remote gaming to digital assets and fund structures.

For fund managers, naturally the next question is whether a Gibraltar fund could be established to trade through or on prediction market platforms. The answer is: potentially yes, but only with the right legal advice, regulatory analysis, and fund structure in place from the outset.

Could a Gibraltar Fund Trade Prediction Markets?

Gibraltar fund structures are flexible and can accommodate a wide range of alternative investment strategies. A prediction market strategy could potentially be structured through a Gibraltar Experienced Investor Fund or a Private Fund, depending on the investor base, the strategy, and the intended marketing approach.

That said, prediction markets occupy a complex regulatory space. Depending on the platform and the contracts being traded, they may be viewed as gambling products, financial instruments, derivatives, event contracts, or crypto-linked products, and that classification matters. Therefore, a key question any fund promoter must address early is whether the fund is trading as principal for investment purposes, or whether the activity could be characterised as selecting or placing bets using investor capital (i.e. effectively acting as a “betting agent”). That distinction requires careful legal review before launch.

In practice, a fund pursuing this strategy would need to consider:

• Whether the fund, manager, or general partner requires any additional regulatory permissions;
• Whether the platforms being used are properly licensed or otherwise lawful in the relevant jurisdictions;
• Whether the strategy is suitable for the proposed investor base;
• Whether positions can be valued reliably for NAV purposes;
• How custody, platform balances, and withdrawals are controlled; and
• Whether certain markets should be excluded for legal, ethical, or reputational reasons.

These are not necessarily barriers to launch, but rather structuring points that need to be addressed properly and in advance of any formal setup.

Key Considerations for Fund Promoters

A prediction market fund would require clear documentation and robust operational controls from inception. The fund’s offering document (or PPM) should set out the strategy plainly: the types of markets that may be traded, the platforms that may be used, the key risks involved, the valuation approach, custody arrangements, and the circumstances under which trading may be suspended or restricted.

Valuation will be particularly important as prediction market positions can be affected by limited liquidity, disputed outcomes, cancelled markets, platform-specific rules, or sudden regulatory intervention. A clear and well-documented valuation policy is therefore an essential part of the setup.

Platform risk is another area that warrants careful consideration. For example, where assets are held on-platform, in digital wallets, or in stablecoins, the fund will need appropriate controls around access, withdrawals, reconciliation, and record-keeping. Many funds operating in this space will also want to adopt a prohibited-markets policy, particularly where markets relate to elections, litigation, conflict, public health, or other reputationally sensitive areas.

What Does This Mean for Fund Administrators?

For administrators, the role is to support the fund structure, not to operate or promote the prediction market itself. A licensed fund administrator, such as Abacus, can assist with fund accounting, NAV calculation, investor onboarding, AML and KYC, registrar and transfer agency services, financial reporting, audit support, and ongoing administration. However, the administrator would not be selecting markets, placing trades, managing the strategy, operating platform accounts or promoting gambling activity. Those functions would need to sit with the fund, its manager, GP or appointed adviser, subject to appropriate legal and regulatory advice.

Prediction market funds are, however, likely to require a more thorough onboarding process than a conventional fund. This would include reviewing the legal advice, understanding the platform due diligence, confirming the valuation methodology, assessing custody and reconciliation arrangements, and ensuring that the administrator’s role is clearly defined.

How Abacus Can Support You

At Abacus, we support promoters and managers with the formation and ongoing administration of Gibraltar funds, including Private Funds and Experienced Investor Funds. For managers exploring prediction market strategies, we can assist with fund formation, coordination with Gibraltar legal advisers, service provider onboarding, investor onboarding, AML and KYC, fund accounting, NAV calculation, registrar and transfer agency services, and ongoing administration.

Prediction markets are a genuinely exciting new chapter for alternative investment strategies, and Gibraltar is well placed to support that development. But the structure must be approached carefully, with the right advice and the right framework in place from the outset.

If you would like to discuss what this means for your fund or your business, please do not hesitate to get in touch with our team.

The post Gibraltar Funds and Prediction Markets: What You Need to Know appeared first on Abacus.

As Gibraltar prepares for a new chapter in its relationship with the European Union, the Government has announced a substantial programme of investment in public safety infrastructure. The measures are directly linked to the practical requirements of the forthcoming post-Brexit treaty framework, and they signal Gibraltar’s determination to enter this next phase from a position of operational strength.

The post Gibraltar Strengthens Border Security Ahead of EU Treaty Implementation appeared first on Abacus.

The draft Ministerial Order, published by Spain’s Ministry of Finance in May 2026, proposes the removal of Gibraltar from the blacklist originally established under Royal Decree 1080/1991. A short public consultation period is now underway before the measure is expected to enter into force through publication in Spain’s Official State Gazette, the Boletín Oficial del Estado.

If confirmed, the move would bring an end to a designation that has remained in place for more than three decades.

A long-standing designation finally revisited

Gibraltar was first classified by Spain as a tax haven in 1991, during a very different international regulatory era. At the time, many offshore jurisdictions operated with far lower levels of transparency and information exchange than those required today.

Over the past two decades, however, Gibraltar has implemented extensive anti-money laundering measures, tax cooperation agreements and international reporting standards. Notably, Gibraltar has also maintained OECD white-list status since 2009 and has never appeared on the European Union’s own list of non-cooperative jurisdictions.

The proposed removal from Spain’s blacklist, therefore, reflects a broader recognition of Gibraltar’s position as a mature and highly regulated international finance centre.

The role of the 2021 tax agreement

The development also follows commitments made under the International Tax Agreement between Spain and the United Kingdom in respect of Gibraltar, which entered into force in March 2021.

That agreement established enhanced cooperation and information exchange measures between the two jurisdictions, covering areas such as tax residency, cross-border workers and administrative assistance. As part of the agreement, Spain committed to removing Gibraltar from its blacklist within two years.

While that commitment was not implemented within the original timeframe, the publication of the draft Order now represents the clearest indication to date that Spain intends to complete that process formally.

Why this matters commercially

Although largely symbolic in some respects, blacklist designations carry genuine practical and reputational consequences.

For businesses, investors and professional advisers, the existence of a tax haven designation can create additional scrutiny, administrative complexity and negative perception, regardless of the actual regulatory standards operating within a jurisdiction.

The proposed delisting is therefore likely to be viewed positively across Gibraltar’s financial services industry, particularly by firms involved in corporate services, funds, insurance, fintech and cross-border structuring.

It also sends an important message internationally. Gibraltar’s financial sector has positioned itself around transparency, compliance, and high regulatory standards, rather than the low-regulation offshore models historically associated with older tax-haven classifications.

A stronger foundation for cross-border business

The timing is particularly notable given Gibraltar’s continued efforts to strengthen its position as an internationally respected and well-regulated financial centre.

In recent years, Gibraltar has continued to develop sophisticated expertise across private client services, funds, insurance, distributed ledger technology and international corporate structuring. Its regulatory environment, English common law system and close alignment with UK standards continue to make it attractive to internationally mobile businesses and investors.

For companies and advisers operating between Gibraltar, Spain and wider European markets, the removal of this long-standing designation may also help simplify certain commercial relationships and reduce outdated perceptions that no longer reflect the jurisdiction’s modern regulatory environment.

Julian Pitaluga, Director at Abacus, comments that, “After more than 35 years on Spain’s tax haven blacklist, the proposed removal of Gibraltar from this list reflects the reality of what the jurisdiction has become over the years: a transparent and well-regulated financial centre, operating to the highest international standards.

From our perspective within the financial services industry, this is not only an important political milestone, but a huge commercial and reputational step forward. It reinforces what many of us on the ground here already know, that Gibraltar is built on regulation, cooperation and transparency.”

The draft Order remains subject to the current consultation process before final publication, but the direction of travel is now clear.

For Gibraltar, the move represents more than the removal of an outdated label. It reflects decades of regulatory development, international cooperation and the steady evolution of the jurisdiction into a modern, transparent and internationally connected financial centre.

For businesses, advisors and investors operating across borders, it also provides a stronger and more accurate framework through which Gibraltar can be viewed internationally going forward.

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