Gibraltar’s gambling story is essentially the story of how online betting itself went offshore. With a small resident population, Gibraltar is not a big domestic gambling culture; instead it became one of the world’s most important licensing and operations hubs, home to many of the biggest betting brands. Its identity is built on decades of hosting bookmakers who relocated to escape high UK duty - and today gaming is a cornerstone of the local economy.

History: from telebetting to global hub

Gibraltar’s rise began in the 1990s. UK betting duty was high, and bookmakers looked offshore. In 1996 Victor Chandler secured a Gibraltar gambling licence, and by the late 1990s he relocated his telephone betting operation there - becoming the first major UK bookmaker to offer tax-free odds to British customers. His move proved the model, and other UK bookmakers followed to reap the same rewards; the pressure it created is widely credited with prompting the UK to abolish its betting duty in 2001. As the internet matured, telephone betting became online betting, and Gibraltar - English-speaking, low-tax and (then) inside the EU single market - became a natural home for the industry.

Economic weight

Gaming is not a fringe activity here; it is central to Gibraltar’s economy. Reporting around the 2025 reforms described the sector as contributing roughly 30% of GDP and employing over 3,400 people (many of them cross-border workers commuting from Spain). That economic dependence is exactly why proposed UK tax changes - notably the rise in UK Remote Gaming Duty to 40% from April 2026 - have prompted concern in Gibraltar about revenues, jobs and possible relocation of operators to lower-tax jurisdictions such as Malta.

Because Gibraltar’s operators serve a mainly UK and international audience, the popular products reflect those markets rather than a distinct local pastime: sports betting (especially football and horse racing), online slots, poker, and classic table games like roulette and blackjack, along with a strong in-play / live-betting segment. The prevailing local attitude is business-like and regulatory: gambling is treated as a serious, licensed industry underpinned by compliance, AML and social-responsibility obligations, rather than as a cultural tradition.

The most important recent change is the Gambling Act 2025, which replaced the Gambling Act 2005 (assented in March 2026, with its main provisions commencing in April 2026 alongside a transitional period). It modernises the regime - moving from entity-based licensing toward licensing defined by regulated activities, introducing new licence categories (including a Gaming Operator Support Services licence) and strengthening the Gambling Commissioner’s supervisory and enforcement powers. The reform is widely seen as Gibraltar sharpening its competitiveness as a licensing hub at a moment of significant tax pressure on the industry.

Sources

18+ only. Gambling should be fun, not a way to make money. If you are worried about your gambling, seek support (e.g. GamCare, 0808 8020 133). Please gamble responsibly.