“The big difference between Gibraltar and the UK is that Gibraltar has a very clear view of where it needs to be,” said Picardo. “The UK economy is larger and has many more moving pieces, so it’s harder to move from the shock of the morning of the 24th to a clear position which takes into consideration all of those areas.”
Gibraltarians voted by an overwhelming 96 per cent to 4 per cent to stay in the EU – a higher margin than in any other eligible voting district. This has led to speculation that Gibraltar might somehow remain in Europe while maintaining its status as a British Overseas Territory. There is a precedent, of sorts. Greenland, which is, in effect, a Danish overseas territory, voted to leave the EU while still retaining its political links to Denmark.
Picardo has gone so far as to describe a “hard exit” Brexit deal as an “existential threat” to Gibraltar. This is partly because each day thousands of Spanish workers cross into Gibraltar to work; something which may not be tenable if Brexit negotiations bring an end to free movement of labour between the EU and the UK, including any overseas territories.
As it stands it is still possible, and potentially crucial, for British expats to seek financial advice in order to ensure a Gibraltar QROPS, although the continuance of this arrangement is likely to be something that will be up for discussion during Brexit negotiations.
This communication is for informational purposes only and is not intended to constitute, and should not be construed as, investment advice, investment recommendations or investment research. You should seek advice from a professional adviser before embarking on any financial planning activity. Whilst every effort has been made to ensure the information contained in this communication is correct, we are not responsible for any errors or omissions.
Professionals working in financial management in the Cayman Islands have many regional and jurisdictional advantages that they can bring to the benefits of their clients’ portfolios, whether they are standard retail investors who have built their wealth through pension schemes, diligent individual savers or institutional investors who are looking for a desirable place to do business.
Located at the Southern tip of the Iberian Peninsula, the British overseas territory of Gibraltar looks South over the confluence of the Mediterranean Sea and the Atlantic Ocean. This small but strategically important isthmus of land, is home to over 32,000 people in just 6.7 km2 (2.6 miles2) of land. As a British crown dependency, the laws and language are those of the United Kingdom, but Spanish is also widely spoken along with the hybridised form of the two known as Llanito. Due to its location and close links with the UK, Gibraltar has long been a favoured destination by British expats looking for sunnier climes and an attractive tax regime. Although it’s not quite as well-known as some other offshore territories such as Monaco and the Cayman Islands, Gibraltar tax rates make it a very attractive choice for anyone looking to relocate within easy striking distance of the UK and Western Europe.