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further 20% of the economy, there had been	point of consumption tax has been beneficial 20 additional licences granted since the Brexit	in some ways, in that it is has brought more referendum, Minister Isola reported, and 20	traffic to Gibraltar, rather than to the UK.” more licenses were being processed, which
together with more eGaming companies	Double tax take demonstrated “continued interest in Gibraltar	Clive Hawkswood, chief executive of the as a safe, well-regulated jurisdiction”.	Remote Gambling Association – an
Isola assured his audience: “All of	industry lobby group – said the UK tax the discussions we have had with [UK	introduced last year had been expected to government] across the spectre, whether	raise £300m revenue, “but they are getting fluidity at the border or continued access for	double that.” He added: “The UK is the financial services, has been very constructive.	largest gambling jurisdiction online in Europe Our relationship with the UK government is	and the most mature.” better than I could ever have hoped for and	Now the sector also faced dealing with not just at a political level, but also filtering	an EU ruling on VAT for gambling, “although through to the officials, (which is always a	there is some leeway in its application as it challenge). We have made clear that “this has	could lead to the end of some markets as to be done – there is a debt and an obligation	being unviable”, Hawkswood warned. to Gibraltar to maintain open trading links.”	“Gibraltar is the exception [with no
expert panel	Challenges remained, he acknowledged,	VAT]”, he said, “It is a very attractive
Anti Money Laundering (AML) activity is a growing consideration too, although it was suggested eGaming had relatively little. Keith Bristow, chairman of the year-old Gambling Anti-Money Laundering Group representing 70% of the UK sector, admitted there was a risk the eGaming sector could be exploited by criminals working hard to ‘clean’ their money through gaming.	“The scale of money laundering generally is huge. We are not talking about small amounts of money; certainly in the UK it runs into billions, not millions [of pounds Sterling].”
Collaboration needed
Now eGaming firms needed to work collaboratively on AML and study how members could share information and experiences – putting inter-company competi- tion aside – on a legal basis, given the UK Regulator was demanding the sector should doso. “Theindustryislowriskfromamoney laundering view point, but we can always do better”, Bristow conceded. “I am not seeing rampant money laundering through online gaming.”
The Group intends publishing a report with suggestions for action later this year as part of transparent consultation, but requests from other jurisdictions to join the Group were been rejected for the time being. “Whilst people want to know how we are tackling this issue, there is less interest in where the money comes from in the first place – through mobile phone use, banks, etc”, he declared.
Gibraltar also is looking to improve further its Gaming law. Minister Isola said: “Our gambling review got side tracked, but we are picking up all the issues around Brexit to put us in an even better place for the next 10-20 years.” In 2016, the government consulted on the internet block chain, Bitcoins and other virtual currencies, and as a result will publish by summer “a consultative document on the framework for legislation covering the gaming and financial services sectors, because the technology overlaps both sectors.”
As part of that review, the proposal is to establish later this year a new, enlarged structure to strengthen and broaden the scope of regulation and licensing of the gaming sector.
In parallel the government is looking to appoint a successor to Phil Brear (60), who is retiring at end-October after eight years, but he will then play a leading consultative role “to ensure continuity of approach”.
discusses Gibraltar outlook “options and ideas”. Government support for	environment is very positive. The confirma-
and his Brexit review team were exploring	jurisdiction, because overall the business l-r, Peter isola,	the sector is “unequivocal and we will do	tion of the government’s unequivocal support
Peter montegriffo, Peter Howitt and whatever we have to do to support and	for our sector is music to my ears.”
John tricker	encourage you and ensure that you remain as	In the UK there were increasing profitable as possible during your stay in	demands in respect of tax on gaming ‘bonus’ Gibraltar; you are an important part of the	offerings, advertising standards, social media economy and it works for you and it works for	activity and involvement of ‘affiliates’, he us.”	declared, and “I expect there will be a lot of
Jay Stubina, co-founder of Continent 8,	tightening up on regulation” of the sector. a provider of managed hosting solutions	That meant greater certainty for operators, but secured over a global private network, told	also more cost. Gibraltar International investment of $US5m	However, Hawkswood suggested that for 200 data storage racks is being	“there is a move away from evidence-based contemplated nearly doubling the number it	decision taking and more towards what a already has within The Rock. The firm, which	government Minister wants to happen to operates in 26 locations, spent $US10m in	satisfy public reaction” and even media 2011to open in Gibraltar, and is “waiting to	references to the on-line gaming sector tended see how the dust settles” on Brexit before	to add to negative public perceptions around expanding.	people being addicted to gambling, even
Gibtelecom, which has 300 data racks at	though only 0.7% of the population was Mount Pleasant serving local businesses, has	classified as ‘problem gamblers’. separated out its operation into a new	“Internationally that percentage is very company Rockolo, and it will install a further	low”, he maintained; the UK was the least 200 racks in 2019.	affected, with Australia, Singapore and
Expert panellist, Peter Montegriffo, a	Ireland being the top three jurisdictions for lawyer at Hassans, maintained: “The UK	problem gambling.
16	Gibraltar International

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