Proposed New Residence Criteria in Gibraltar: What Applicants Need to Know

The Government of Gibraltar has published proposed criteria for individuals applying for residence in Gibraltar. The proposals are intended to ensure that residence is linked to genuine economic contribution, compliance with legal and regulatory requirements, and the long-term sustainability of Gibraltar’s public services.

For individuals considering moving to Gibraltar, the proposed framework introduces clearer requirements around employment, accommodation, tax and social insurance contributions, age, family members, renewals, and access to public benefits.

This article summarises the key points for prospective applicants.

Employers, start-ups and HR teams may also wish to read our related article: “Gibraltar Residence Reform: What Employers Need to Know.”

Who will the new rules apply to?

The proposed new regime is aimed at individuals applying for residence in Gibraltar going forward.

It does not apply to current Gibraltar Identity Card holders or current Gibraltar residents who obtained residence before 6 October 2025. Individuals who were resident before that date are expected to remain subject to the rules applicable at that time, including in relation to the period required for applying for Gibraltarian Status.

However, persons who were in Gibraltar before 6 October 2025 but did not hold a residence card may fall under the new regime, unless discretion is exercised to allow an application under the previous rules.

Employment requirements

A person applying for a residence permit will need to provide an employment contract as part of the application.

The employment contract must meet certain conditions. In particular, the applicant’s earnings must be equivalent to the average gross annual earnings in Gibraltar, which the document currently states as £37,500, rounded up to the nearest £500. This figure is expected to be updated annually by notice in the first Gazette of each financial year.

The employer must also be an established and compliant business. The employment contract must be with a business that has traded in or from Gibraltar for at least one year, is properly registered and licensed under the Fair Trading Act or another relevant regulatory authority, and has all payments and filings up to date.

Accommodation requirements

Applicants must provide evidence that they have rented or purchased property in Gibraltar.

Where the applicant rents, the rental must be for use as the applicant’s primary residence, must not be for less than 12 months, and must not be a holiday rental.

Where the applicant purchases property, it must be available for the applicant’s exclusive use during the residence permit period and cannot be let during that time.

The document also states that existing residence permit holders who currently live on a vessel may continue to do so, but future applications from individuals living on vessels will not be accepted.

Age requirement

Applicants must provide proof that they are 55 years old or under.

However, the Chief Minister may have discretion to allow applicants over 55 where their residence is considered to be in Gibraltar’s interests. A person over 55 who is granted residence would not be entitled to Elderly Residential Services unless and until they become Gibraltarian, which under the proposed new rules would require British Citizenship and 20 years of residence.

Vetting and good standing

Applicants will also need to provide an official vetting form from their country of origin.

The Government also reserves the right to refuse, suspend, or revoke a residence permit where an individual is not of good standing, including on the basis of future vetting or arrests, or on public policy, public health, or public security grounds.

New businesses and self-employed applicants

Additional requirements apply where the employer has been trading for less than one year, or where the applicant is a newly registered self-employed individual.

In those cases, an advance deposit will be required. The deposit is to be equivalent to:

• the total employee and employer social insurance contributions for the first year of employment; and

• the total tax payable on average gross annual earnings, taxable at 25%.

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The deposit is to be returned when the business ceases, and the Minister for Business may have discretion to waive the full amount in certain defined circumstances.

Is there any flexibility for younger applicants?

Yes. For applicants under 30, the minimum salary requirement may be waived if the employer pays tax and social insurance contributions as if the employee earned the average gross annual earnings threshold for that year.

This may assist younger workers whose actual salary is below the threshold, provided the employer is willing to meet the contribution requirement.

Renewal and lapse of residence permits

Residence permits are expected to be renewed annually. Applicants will need to confirm each year that all conditions continue to be met.

A failure to disclose accurate and complete information, or a failure to notify a material change in circumstances, may result in being refused renewal, or the permit being suspended or revoked.

A permit may also lapse automatically if tax or social insurance payments stop, unless the employee can show that the amounts were deducted from salary but not paid over by the employer.

In addition, permits will lapse automatically eight weeks after a notice of termination is filed with the Department of Employment, unless the Director of Immigration and Home Affairs is satisfied that the individual has a new employment contract.

What benefits will residence provide?

Residence will provide access to certain benefits, primarily focused on healthcare and education.

Residents will be entitled to GPMS benefits for themselves, their spouse, and their children under 18 or in tertiary education. Children of Gibraltar residents will also be entitled to schooling in Gibraltar.

Dependent children may also be eligible for a scholarship after 10 years of continuous lawful residence and uninterrupted tax and social insurance payments.

What benefits will not be available?

The proposed framework limits access to wider social benefits.

Residence will not provide entitlement to:

• elderly residential care;

• domiciliary care;

• public or affordable housing;

• berths in the Small Boats Marina or other government berthing schemes; or

• other social benefits.

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The document states that British Citizens who have completed 20 years of residence will then be able to obtain Gibraltarian Status and access all services, including Elderly Residential Services and Domiciliary Care.

Family members and partners

An applicant may be accompanied only by their spouse and/or children.

Where an applicant wishes their spouse to reside with them, the applicant must pay an amount equivalent to the maximum employee social insurance contribution to the Government on behalf of the spouse.

Unmarried partners of individuals with Gibraltarian Status may be permitted to reside in Gibraltar where evidence is provided of a durable relationship of at least two years.

Fees and penalties

The application fee for residence is proposed to increase to £250, with renewal fees set at £100.

An individual residing in Gibraltar without a residence permit may be fined up to £2,500.

Practical points for applicants

Prospective applicants should consider the following before applying:

• whether their employment contract meets the salary threshold;

• whether their employer is properly registered, licensed, and tax-compliant;

• whether their accommodation satisfies the primary residence requirement;

• whether they can evidence age, vetting, and family status requirements;

• whether they understand the annual renewal obligations; and

• whether the benefits available under residence meet their family’s needs.

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The proposed framework represents a more structured and contribution-based approach to residence in Gibraltar. Applicants should take advice early, particularly where their circumstances involve self-employment, a new business, a lower salary, an applicant over 55, or accompanying family members.

For employers and businesses, see our related article: “Gibraltar Residence Reform: What Employers Need to Know.”