Spain Pressures Gibraltar Online Gambling Firms

Published August 13, 2013 by OCR Editor

Spain Pressures Gibraltar Online Gambling Firms

Spain-UK diplomatic dispute could hurt online gambling firms based in Gibraltar.

Spain has revived its centuries-old diplomatic dispute with the United Kingdom over Gibraltar, attacking a rather surprising victim - the many online gambling companies that are stationed on the Rock.

Spanish sabre-rattling

The war of words between the UK and Spain heated up over the weekend, when Spanish Foreign Minister José Garcia-Margallo told his counterparts that "the party is over" after complaining that an artificial reef created by Gibraltar had damaged Spanish fishing grounds.

Garcia Margallo told a local media outlet that his country, which has never officially recognized the UK's 300-year rule over the Rock, was considering retaliatory measures against Gibraltar - including demanding that locally based online gambling firms use Spanish servers and pay taxes to Madrid.

Online Gambling Haven

Gibraltar, as those familiar with the online gambling industry would know, has been a haven for casino and poker operators for many years. More than 15 companies are based on the Rock, including 888,, William Hill and Ladbrokes, employing more than 1,800 people - many of whom cross over from Spain for their day jobs.

In an ironic twist, the Spanish threats toward these companies broke out at the same time as online gambling firms and the Gibraltar government threatened legal action to stop the UK from introducing a new 15% online gambling point-of-consumption tax. Gibraltar-based online gambling firms currently pay 1% tax on total online revenues.

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See also

Spain Online Gambling to Boom in Next 5 Years

Spain Limits Online Gambling Ads During Coronavirus Pandemic

Special: The Rise And Rise Of Online Gambling In Spain

Spain Online Gambling Licenses Coming Soon

Gibraltar Wants in On US Online Gambling

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