FinsburyTrust welcomes the formal removal of Gibraltar from Spain’s list ofnon-cooperative tax jurisdictions, marking the end of a designation that hadremained in place since 1991. The change was published in Spain’s OfficialState Gazette, the Boletín Oficial del Estado, through OrdenHAC/649/2026 on 27 June 2026, and took effect on 28 June 2026.
Thisis a significant and long-awaited milestone for Gibraltar, its financialservices sector, and the many businesses, families and individuals withcross-border interests between Gibraltar and Spain. Gibraltar had been includedon Spain’s blacklist for 35 years, despite Gibraltar’s continued development as a well-regulated andinternationally cooperative jurisdiction.
Theremoval follows several years of closer tax cooperation between the UnitedKingdom and Spain in respect of Gibraltar, including the InternationalAgreement on Taxation signed in 2019 and in force since 2021. That agreementcreated a framework for administrative cooperation and helped address the basison which Gibraltar had historically remained on Spain’s blacklist.
Spain’supdated list also removes Barbados, Dominica, Seychelles and Trinidad andTobago, as well as Samoa in relation to its offshore business regime, whileadding Russia in respect of its international holding companies tax regime. TheSpanish authorities have stated that the changes reflect developments ininternational standards on transparency, exchange of information and fairtaxation, including work carried out through the European Union and the OECD.
ForGibraltar, the development represents an important recognition of the progressachieved over many years. Gibraltar has not appeared on the European Union’slist of non-cooperative jurisdictions and has long maintained a position ofcooperation with international tax transparency standards.
The practicaleffect of the removal is expected to be particularly relevant for groups withpersonal, commercial or investment links between Gibraltar and Spain. While theprecise impact will depend on individual circumstances and the relevant Spanishtax rules, the removal may reduce additional reporting, enhanced due diligenceand certain restrictions which were previously associated with Gibraltar’sdesignation as a non-cooperative jurisdiction.
Additional benefits may include improved treatment for certainSpanish tax exemptions available to non-residents, reduced friction forpayments and transactions between Gibraltar and Spain, and a more constructiveenvironment for investment and business activity across both markets. In taxesbased on a specific tax period, however, the impact may apply from thebeginning of the next relevant tax period rather than immediately mid-period.
TheChief Minister of Gibraltar, Fabian Picardo, described the removal as “longoverdue” and said it would mean a great deal to people with cross-borderinterests, including businesses, workers and those with second homes in Spain.
Thetiming of the announcement is also notable as Gibraltar continues to preparefor the planned provisional application of the wider treaty arrangementsconcerning the movement of people and goods between Gibraltar and the EuropeanUnion. The removal from Spain’s list is therefore an important step within abroader period of change for Gibraltar’s relationship with Spain and the EU.
At Finsbury Trust, we see this as a positivedevelopment for Gibraltar’s international standing, reinforcing Gibraltar’sposition as a reputable financial services centre and creating newopportunities for individuals, families and businesses with interests acrossboth sides of the border.
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