The Government believes that, following the landmark agreement between the United Kingdom and the European Union concerning Gibraltar’s future relationship with the European Union and Schengen area, Gibraltar is entering a new phase of opportunity, connectivity and international attractiveness.

As Gibraltar's global profile continues to strengthen, the Government considers it appropriate that the high net worth individual regime (otherwise known as the Qualifying (Category 2) Individuals Rules 2004) evolves to reflect Gibraltar's premium positioning and long-term economic priorities.

The Government therefore intends to modernise the Category 2 regime by increasing the current application fee from £1,233 to £5,000 and updating the minimum net wealth requirement for new applicants from £2 million to £5 million.

These changes are intended to ensure that Gibraltar continues to attract individuals who are well-placed to make a meaningful and sustained contribution to the economy and wider community.

Existing Category 2 individuals will be fully grandfathered and will therefore not be affected by the revised minimum net wealth requirement.

The Government will also take this opportunity to reaffirm the long-standing position that Category 2 status does not confer entitlement to publicly funded schooling or healthcare services. The new changes will also provide that a person who does not maintain their Category 2 status will not have a right to continue to be resident in Gibraltar. This is intended to ensure transparency for applicants and fairness for Gibraltar taxpayers.

These measures form part of the Government's wider commitment to ensuring Gibraltar remains internationally competitive, fiscally responsible and well positioned for long-term success.

Nigel Feetham KC MP, Minister for Justice, Trade and Industry, said:

"Following consultation on the proposed reforms, the Government has decided to adopt a measured approach to updating the Category 2 regime. While a range of views was expressed on thresholds and possible wider reforms, we have chosen to make targeted changes only."

"We are seeing strong interest in Category 2 status following the Treaty announcement, which reflects growing confidence in Gibraltar's future. At the same time, it is important that the regime remains aligned with Gibraltar's broader economic objectives and the opportunities arising from the Treaty."

"I have worked closely with the Chief Minister and the Minister for Business to ensure that these reforms support Gibraltar's strategic direction, maintaining competitiveness while ensuring we continue to attract individuals who can make a meaningful contribution to our economy and community."