Shadow Europe Minister hears first-hand from Gibraltar’s gaming industry on UK tax concerns 

Conservative MP Wendy Morton, the Shadow Minister for Europe, reaffirmed her party’s commitment to the Rock’s “enduring relationship” with the UK during a whirlwind visit to the Rock this week, a visit that focused on border and airport developments amidst ongoing treaty negotiations and concerns in the gaming industry on the impact of the UK’s higher online gaming duties. 

Despite the brevity of her visit, Ms Morton’s itinerary included meeting the Governor, Lieutenant General Sir Benjamin Bathurst, and ministers as well as senior gaming industry executives.  

Nigel Feetham, the Minister for Justice, Trade and Industry, met Ms Morton to discuss gaming and recent UK tax decisions.  

“I'm very aware of that because of what happened in the Budget in the UK,” Ms Morton told the Chronicle.  

“So I very much listened to the concerns that that were raised with me.” 

“Obviously, it's a matter for the UK Government.” 

“But I was quite shocked [because] it feels like they were whacked with the tax.” 

“I think the key thing for me is, what impact does that have?” 

“It worries me a little that what it will do is drive people to gamble or game on the black market, and we're going to see a rise in that.” 

“So we'll have to see how that plays out.” 

“But it was really interesting to actually learn a bit more about the industry which is key to your economy.” 

As part of her visit, Mr Feetham accompanied her with Jonathon Scott, Gibraltar’s UK Representative and Head of Gibraltar House in London, on visits to the Gibraltar offices of Evoke and Entain, two of Gibraltar’s largest gaming companies.  

“I accompanied the Shadow Europe Minister, The Rt Hon Wendy Morton MP, on her visits to Evoke and Entain and in discussions with gaming industry representatives on the impact of the UK’s recent gaming tax increases,” said Mr Feetham.  

“We highlighted the risk that these measures could drive customers towards unlicensed operators, undermining UK tax revenues, player protection and safer gambling.” 

“With the Finance Bill now before the UK Parliament, it is vital these issues are fully understood.” 

Ms Morton also met with Stephen Hodgson of the UK Betting and Gaming Council and Nicky Macias of the Gibraltar Gaming and Betting Association, alongside representatives from a number of other Gibraltar-based gaming companies.  

A statement from No.6 Convent Place said that during the meetings it was highlighted that unlicensed operators, unlike Gibraltar-licensed companies, do not contribute tax revenues to the UK and often take a markedly different approach to player protection and safer gambling compared to licensed and regulated Gibraltar operators.  

“Industry leaders and stakeholders welcomed the opportunity to engage directly with the Shadow Minister, enabling her to gain a clearer understanding of the challenges facing one of Gibraltar’s key economic sectors following the recent UK Budget announcements,” said the Government statement. 

In Gibraltar for only one night, Ms Morton was met at the airport on arrival on Monday by the Deputy Chief Minister, Dr Joseph Garcia, who briefed her on the UK/EU treaty for the Rock’s post-Brexit relations with the bloc. 

Her visit, the second one in less than a year since being in Opposition, was focused on planned changes at the airport and the frontier.  

“I was invited to visit,” she said.  

“It's a very short visit, but more than anything, it was really to see the work that's going on, mainly at the border, at the airport, whilst the treaty detail, the legal detail is ongoing,” she told the Chronicle.  

“I'm waiting to see what that text will say, but it was really helpful to actually come into the airport and see where they are doing the work to put the new border controls.” 

“And there's something about when you actually go and see something, it makes more sense than just trying to look at a flow chart on a piece of paper or having it explained to you.” 

She acknowledged that a lot has changed in Gibraltar since her last visit. 

“When I was here last time I was taken to the airport, and we looked out across towards La Linea and Spain and I got a sense that this is where some of the work was going to happen,” she said.  

“Clearly, there's still work to be done.” 

“But it’s really encouraging to see that very pragmatic, practical approach that is being taken to get things ready for as and when things move forward,” she said. 

The practical impact of transport and people movement was noted by Ms Morton who said it has always been a key aspect of the negotiations. 

“It always has been, hasn't it, about the flow of traffic, the flow of goods, nd importantly, the flow of people, the ability to pass, particularly if you work on one side of the border or the other,” she said. 

Asked for a message to the people of Gibraltar, she said: “I always enjoy visiting Gibraltar, and as far as the Gibraltar UK relationship is concerned, I think we stand shoulder to shoulder together.” 

“Our history goes back a long way, and it's a special place.”