The Residency Regulations 2026 came into force on 14th July 2026, giving legal effect to the new framework for residence in Gibraltar that the Government first set out in its policy paper earlier this summer. When we covered that policy paper in a previous post, much of the detail was still to follow. It has now followed, and the Regulations provide a much more precise picture of how the new system will work in practice.
Here is a practical explainer of who qualifies, on what basis, and what the process will look like going forward.
The Routes to Residency
The Regulations set out six main routes through which a person may apply for a residence permit in Gibraltar: as an employee, as a self-employed individual, as a student, as a Crown Servant or member of HM Armed Forces, as an existing resident, or as a permanent resident.
Employees
To qualify as an employee, an applicant must hold an employment contract of at least one year, under which their gross annual earnings are no less than the average gross annual earnings in Gibraltar, which is currently £37,500. Their employer must be trading in Gibraltar, fully licensed under the Fair Trading Act 2023 or appropriately regulated, and must have complied with all due payments and filings.
Applicants must also be aged 55 or under, provide evidence of a purchase or rental agreement for a property in Gibraltar to be used as their primary residence, and be fully vetted by the relevant authorities of the country in which they were most recently habitually resident.
On the accommodation point, the Regulations are specific: rental agreements must be for at least 12 months, must not be holiday lets, and must reflect a genuine commercial arrangement. Vessel-based living will not satisfy the requirement for new applicants, though those who were already residing on a vessel before the Regulations came into force are exempt.
Two waivers are available on the salary threshold. The Chief Minister may waive it where an applicant possesses skills important to Gibraltar’s economic development, or where they belong to a sector with a demonstrable shortage of labour or skills, and this discretion may be exercised across an entire sector rather than on a case-by-case basis. Separately, the Authority may waive the threshold for applicants under 30, provided their employer pays a deposit covering the equivalent social insurance contributions and 25% of the average gross annual earnings.
New Employers
Where an employer has been trading or regulated in Gibraltar for less than a year, the Regulations impose an additional requirement: the employer must pay a deposit to the Government before the Authority will process the application. That deposit covers the total employee and employer social insurance contributions for the first year of employment, plus an amount equivalent to 25% of the average gross annual earnings in Gibraltar.
The deposit may be set off against any liabilities the employer owes to the Government, with any remainder returned on cessation of the business. There is a mechanism for reducing the deposit where the number of employees required to provide deposits would otherwise be so great as to stifle the business, or where there is a legitimate and justifiable reason in Gibraltar’s interests. If a residence application is unsuccessful, the deposit is refunded within 30 days.
Self-Employed Individuals
The conditions for self-employed applicants broadly mirror those for employees: average gross annual earnings at or above the Gibraltar threshold, appropriate accommodation, age 55 or under, eligibility to be licensed or regulated in Gibraltar if required, and full vetting. The Chief Minister retains the same discretion to waive the earnings or age requirements where the applicant’s skills or sector warrant it.
Applicants who have not previously been registered as self-employed in Gibraltar must pay a deposit before their application will be processed, covering the first year’s social insurance contributions plus 25% of the average gross annual earnings. As with new employers, this deposit may be reduced in justifiable circumstances, and is refunded if the application is unsuccessful.
Students and Other Categories
Students accepted for full-time enrolment at the University of Gibraltar qualify for a residence permit for the duration of their studies. Crown Servants, members of HM Armed Forces posted to Gibraltar, Gibraltar Government employees, and their entitled dependants also qualify, with permits valid for a period determined by the Authority having regard to the length of any intended tour of duty.
Existing and Permanent Residents
Those who already held a valid civilian registration card under the Immigration, Asylum and Refugee Act qualify for a residence permit under the same conditions that applied before the new Regulations came into force, provided they can demonstrate six months of continuous and lawful residence in Gibraltar immediately preceding the application. The Authority may waive this continuity requirement where an absence was due to military service, pregnancy, childbirth, serious illness, study, vocational training, or an overseas posting.
A separate discretionary route exists for those who were resident in Gibraltar before the previous residency arrangements were suspended, but had not yet obtained a residence document or valid civilian registration card. The Chief Minister may, in his absolute discretion, issue a residence permit to such individuals under the conditions that applied prior to the suspension. No criteria are prescribed for how this discretion will be exercised.
Those who already hold permanent residence are also protected: they qualify for a permit directly, though permanent residence can be lost through an absence from Gibraltar of two years or more.
Family Members
Spouses or civil partners, children under 18, and children over 18 in full-time education may all be included in an employee’s, self-employed individual’s, or student’s application. Each family member over 18 must be independently vetted. Where a spouse or civil partner is included, the applicant must pay an additional deposit equivalent to the total social insurance contributions payable under their employment contract for the first year.
Unmarried partners of Gibraltarians may also qualify, provided the Authority is satisfied that they are in a genuine and durable relationship of at least two years, one that is not based solely or primarily on remote or online communication.
Validity, Renewal and Revocation
Residence permits are valid for one year and must be renewed annually. At renewal, employees must continue to satisfy the earnings and accommodation requirements, though the age 55 cap does will no longer apply at that stage. The deposit requirements do not apply on renewal, with one exception: under-30 employees whose employer is paying salary deposits must continue to do so for each year the employee remains under 30.
A permit will automatically be revoked 16 weeks after a notice of termination of employment is filed with the Department of Employment, unless the Authority is satisfied that the holder has a new employment contract meeting the relevant requirements. Permits may also be refused, not renewed, or revoked on grounds of public policy, public security, or public health, or where the holder has ceased paying social insurance or income tax, no longer meets the conditions of their permit, or has engaged in address or residence fraud or assisted illegal migration.
Where a permit is revoked on the grounds of fraud or facilitation of illegal migration, the former holder is barred from applying for a new permit for five years, unless the Chief Minister directs otherwise.
Fees and Penalties
The application fee for a new residence permit is £250, and the renewal fee is £20, the same fees apply to each family member included in an application. Residing in Gibraltar without a valid permit carries an administrative penalty of £2,500, payable within 28 days, and the person concerned will be treated as an unauthorised person under the Immigration, Asylum and Refugee Act.
The Right to Appeal
The Regulations establish a new Residency Appeals Tribunal, consisting of a Chair and four other members appointed by the Chief Minister. Anyone aggrieved by a decision to refuse or revoke a residence permit may appeal to the Tribunal within seven days of being notified of the decision. Appeals are determined on the basis of written representations, unless the Chair considers it necessary to hear the appellant in person. The Tribunal may affirm, vary, or reverse the Authority’s decision and must give reasons for doing so.
It is worth noting that decisions taken under the Government’s discretionary power (regulation 15) and those arising from Schengen checks (regulation 20) fall outside the Tribunal’s jurisdiction and are not subject to this appeals process.
Discretionary Powers
Discretionary powers appear throughout the framework, the Chief Minister may waive salary and age thresholds, issue permits to individuals resident before the suspension who lacked documentation, direct that additional persons be treated as family members, and grant permits to anyone he considers to be of good character and in Gibraltar’s interests. The Government holds a similarly broad power to order the issue of a permit where it considers doing so to be in Gibraltar’s economic, reputational, cultural, or public interest.
Finding The Right Route
Navigating a new legal framework always raises questions that the document itself doesn’t answer. If you would like to discuss how the Residency Regulations apply to your specific situation, our team at Abacus would be delighted to help you.