New residency applications for UK and EEA nationals temporarily suspended

New residency applications from UK nationals and citizens from the European Economic Area have been suspended temporarily due to “an unprecedented influx” since June in the number of people seeking to live and work in Gibraltar.

The suspension was set out in new rules published on Monday in the Gazette and came into immediate force. It is not clear how long it will be in place.

Gibraltar has typically received around 1000 residency applications annually over the past three years, but that figure has jumped threefold since June following the announcement of a political agreement for a UK/EU treaty.

Most of those people are from the UK, the Chronicle understands.

The prospect of a common travel area with the Schengen zone, coupled to long-established benefits for residents such as access to healthcare and further education, makes Gibraltar increasingly attractive to many people.

But without careful management, that influx risks placing huge strain on Gibraltar’s finite space and resources.

The issue was flagged as far back as July, when Chief Minister Fabian Picardo told guests at a dinner organised by the Chamber of Commerce that Gibraltar would need to be more discerning as to who could reside here once the treaty was in place.

“We've got to get this balance right,” Mr Picardo said at the time.

“But start thinking that the time may come when we need to be very careful about who we allow into Gibraltar.”

“In other words, our product may be so good that we may not want everybody who wants to come to Gibraltar to come to Gibraltar and raise the price of property as much as it might be, or put as much of a burden on our public services as much as we might find.”

The new regulation triggering the suspension came into effect on October 6, 2025.

People who applied before that date but are still awaiting a registration certificate, a residence card, a document certifying permanent residence or a permanent residence card will not be affected.

For new applications, no documents will be issued until the measure is lifted, except in cases where “the interests of Gibraltar” require it.

According to the regulation, those circumstances could include cases where there is an international obligation that is binding on Gibraltar; where not issuing documentation may cause “extreme hardship”; or where there are economic interests.

In such circumstances, however, the Department of Immigration and Home Affairs must obtain approval from the Chief Minister.

The Government said the rules were not aimed at people in gainful employment who move to Gibraltar to contribute to the economy.

“They are designed to prevent abuse of the system,” a Government spokesperson said.

Provisions in the Immigration, Asylum and Refugee Act entitle EEA and UK nationals to reside in Gibraltar for periods exceeding three months so long as certain criteria are met. It is those provisions that have been suspended.

The legislation was amended in 2020 at the time of the UK and Gibraltar’s withdrawal from the EU.

It defines an EEA state as any country that is a party to the European Economic Area agreement, but also includes Switzerland and the United Kingdom, neither of which are EEA members, within that definition.