Gibraltar and UK to negotiate double taxation agreement 'within months'
Gibraltar and the UK will negotiate a double taxation agreement and aim to sign the deal "within a matter of months," Robert Jenrick, Exchequer Secretary to the UK Treasury, announced on Monday.
Mr Jenrick made the announcement during a whistle-stop visit to the Rock, describing the news as "an important development in our longstanding relationship".
"The agreement that we are working towards will provide a new, stronger framework that will underpin and encourage trade and investment between us for years to come," he said.
"It is yet another sign that while our relationship goes back centuries, it continues to grow stronger as we work together on our shared priorities and values."
"I hope it is also an important sign of the UK's continued commitment to Gibraltar."
"The importance of this is only increased as we prepare to leave the European Union and seize the opportunities that presents and work together to manage the challenges."
"Together with our shared commitment which we have renewed today, to work together to tackle tax avoidance and evasion, it is clear that the economic relationship has perhaps never been closer."
Mr Jenrick, who also repeated the UK's double-lock commitment on sovereignty, was speaking to reporters during a short appearance at No.6 Convent Place alongside Mr Picardo. The junior Treasury minister read from a prepared statement but took no questions from journalists.
The Chief Minister welcomed the announcement, which he said came on the back of "years of hard work" to position Gibraltar as one of the best territories in terms of transparency, tax information exchange and compliance.
The agreement will also position Gibraltar on an equal footing with competing jurisdictions that currently enjoy the benefit of a double tax agreement with the UK.
"Bilateral taxation agreements remove barriers to international trade and investment and they provide a clear and fair framework for taxing businesses that trade between us," Mr Picardo said.
"By entering into such arrangements, they benefit businesses and economies in the jurisdictions concerned."
"They're positive agreements that should be welcomed by the community, this community in particular, and by service providers, clients and prospective clients of our financial services and other interested industries."
"Once concluded, this agreement is one that will invaluably strengthen our ability at this critical juncture when we expect to leave the European Union with the United Kingdom."
And he added: "These are the things that ensure that Gibraltar continues to grow and these are the partnerships that make Gibraltar stronger."