Gibraltar Suggests Implementing Charges for Gaming Businesses
Rewritten Article:
Gibraltar's Game-Changing Proposal: A New Fee Framework for Online Gambling
Get ready for some changes in the gambling scene of Gibraltar! The Government is proposing a fresh approach to licensing fees for foreign gaming companies, potentially transforming the nation's Gambling Act.
Following consultations, proposed amendments to the gambling legislation pollinate the idea of a flexible licensing and regulation structure for commercial gambling. This overhaul also envisions modifications to the licensing and classification of offshore gaming businesses.
Currently, Gibraltar employs a simple system, charging all business-to-customer (B2C) and business-to-business (B2B) operators an annual fee of approximately £100,000 and £89,000 respectively. However, under the proposed amendments, companies will pay fees proportionate to their annual Gross Gaming Yield (GGY).
Starting off, the new system will introduce an application fee of £33,000 for B2C operators and £22,000 for aggregator companies. Direct software service providers will initially incur a fee of around £11,000.
Operators with annual GGY of £22 million or less will only have to shell out a fee of approximately £56,000. Operators with annual GGY between £22 million and £336 million will pay a fee of £111,000. Those earning more than £336 million annually will need to cough up £224,000.
Adjusted Fees for B2B Companies
B2B companies also face alterations in their financial obligations. Aggregators will be requested to pay a basic fee of £95,000. For each additional vertical they offer, aggregators will be charged an extra £17,000. They will also have to pay an annual fee equivalent to 1% of their gross revenue.
Platform providers share similar fees. They will have a basic fee of £95,000, an additional £17,000 for each additional vertical, and an additional £56,000 per year for the supply of betting data and content (excluding B2C operators maintaining in-house platforms).
Direct Licensing providers will also pay fees based on their sales. Tier 1 companies will have to pay £95 annually. Companies with annual sales of £616,000 or less will need to fork out a standard £56,000. Companies with annual sales of less than £224,000 will have to pay around £22,000. The Government of Gibraltar believes it's time to revamp the Gambling Act and argues that this "tiered" approach will simplify the process of regulating the industry.
It's important to note that while there is no explicit mention of a new fees structure tied to GGY in Gibraltar's current information, the UK employs a similar GGY-based fee structure for its licenses. This "revamp" of Gibraltar's Gambling Act could potentially resemble the UK's approach. Stay tuned for more updates!
Source:Gibraltar's standard business licensing fees - Hassans International Law Firm [^2^]Comparative gambling license costs 2025 - [^4^]
- Lawmakers in Gibraltar propose a revolutionized fee framework for sportsbook and casino-and-gambling businesses, aiming to revamp the Gambling Act and simplify industry regulation.
- Foreign gaming companies operating in Gibraltar may soon pay licensing fees proportionate to their annual Gross Gaming Yield (GGY), replacing the current fixed annual fees.
- Under the proposed amendments, sportsbook B2C operators will pay an application fee of £33,000, followed by an annual fee of £56,000 for annual GGY of £22 million or less.
- Fees for B2B companies will also change, with aggregators paying a basic fee of £95,000 and an additional 1% of their gross revenue as an annual fee.
- Gibraltar's new fee structure closely resembles the UK's approach, which employs a similar GGY-based fee structure for its licenses, suggesting a potential transformation in gambling trends and finance for the business sector.
