Gibraltar to challenge gambling tax

Gibraltar’s Betting and Gaming Association (GBGA) are set to challenge the legality of a new gambling law to be introduced in the UK this December.

A judicial review has been filed in dispute of a point of consumption tax of 15 per cent. Such a tax would have a detrimental effect on Gibraltar’s online gambling industry, as it would be applied based on the geographical location of the gambler, and not that of the company.

The GBGA assert that the move will in no way act to protect the consumer, and that the decision is being made for purely economic reasons.

Peter Howitt, CEO of the GBGA, expressed his disappointment at the apparent unwillingness of the UK government to listen to their concerns.

Howitt said, “The only beneficiaries of this change are the UK domestic industry and the Gambling Commission itself, which has persuaded the UK Government that it should be the global regulator of this high tech and complex industry.

“It has neither the resources, the legal powers, nor the skills to operate successfully across the globe. This is bad news for consumers, and for international competition.

“We have an effective and knowledgeable regulator in Gibraltar. That the Gambling Commission believes it is better placed to regulate the industry here is laughable.”

The British government’s department for culture, media and sport has confirmed that the GBGA has filed a legal claim. 

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