Gibraltar to be removed from EU’s AML ‘grey list’
The list ranks countries with strategic deficiencies in their anti-money laundering (AML) and counter-terrorist financing (CTF) frameworks.
The Gibraltar Chronicle reported that, in a plenary session held on Wednesday (9 July), members of the European Parliament (MEPs) rejected four resolutions that sought to block the Commission’s delegated act, effectively endorsing the delisting of the British Overseas Territory.
This marked the second attempt by the Commission to secure parliamentary support for Gibraltar’s removal. A previous effort was derailed in 2023 after it was met with resistance led primarily by right-wing Spanish MEPs, according to the media outlet.
Gibraltar Minister for Trade, Justice and Industry Nigel Feetham said in a separate statement: “This is testament to the work undertaken by my Ministry to bring Gibraltar to the vanguard of the fight against money laundering and counterterrorist financing, and Gibraltar’s reputation as a world-leading financial centre has been rightfully restored.”
In the latest session, similar efforts to obstruct the process resurfaced. Spanish MEPs once again raised objections focused on Gibraltar, particularly through a resolution introduced by a Vox MEP representing the Patriots for Europe group.
The resolution targeting Gibraltar was decisively defeated by 501 votes against, with only 101 in favor and 77 abstentions. The remaining three resolutions, while unrelated to Gibraltar, aimed to prevent the delisting of Russia and the United Arab Emirates, and were also rejected.
The result signalled strong parliamentary confidence in the Commission’s recommendation and allowed the delegated act to pass unimpeded.
Gibraltar cleans up its image
The EC’s decision followed a broader trend in Gibraltar’s international rehabilitation.
In February last year, the Financial Action Task Force (FATF) removed Gibraltar from its own grey list, after finding that the jurisdiction had “substantially completed” its AML/CTF action plan.
This milestone came after an earlier target deadline in May 2023 was missed, prompting closer scrutiny from the international financial oversight body.
Nonetheless, by October 2023, FATF had acknowledged that Gibraltar had made “significant progress” in addressing the strategic deficiencies previously identified.
As a result, the territory was no longer subject to the FATF’s enhanced monitoring process.
This international recognition set the stage for the European Commission’s own assessment, ultimately concluding that Gibraltar had taken sufficient steps to warrant removal from the EU’s high-risk list.
The Commission emphasised that Gibraltar had adopted legislative and institutional measures aimed at strengthening its AML/CTF regime.
These included improvements in risk-based supervision, increased transparency obligations, and enhanced regulatory enforcement mechanisms.
Its findings were defended robustly during the parliamentary debate, despite lingering political opposition rooted in regional sensitivities over Gibraltar’s constitutional status and tax environment.
Gibraltar updates gambling laws
The timing of Gibraltar’s delisting by the EU coincides with a significant domestic reform effort in its gambling sector.
At the end of June, the Government of Gibraltar published its Gambling Bill 2025, a comprehensive legislative package aimed at replacing the Gambling Act 2005.
The bill proposes a strengthened regulatory structure with clearly defined roles for a Licensing Authority, a new Gambling Commissioner, and a dedicated Gambling Division.
The bill introduces five overarching gambling regulatory objectives, one of which specifically targets the prevention of gambling facilities being used for money laundering or terrorist financing.
These objectives are intended to align with international AML/CTF standards and reflect Gibraltar’s ongoing commitment to regulatory reform.
Key provisions include a restructured licensing framework that covers both B2C and B2B operators, whether remote or land-based.
The law also mandates licensing for associated entities such as marketing affiliates, fund holders, and platform providers.
Companies managed from Gibraltar but conducting gambling activities elsewhere will also fall under its scope if they maintain local management functions or infrastructure.
To ensure accountability, the bill introduces a new regime for “regulated individuals” who hold responsibility for compliance, finance, and AML within licensed entities.
These individuals will be subject to a fit-and-proper test and continuous oversight by the Gambling Commissioner.
The Commissioner will also have expanded enforcement powers, including the authority to impose administrative penalties, suspend or revoke licences, and initiate judicial proceedings for serious breaches.
The Minister may further act on recommendations from the Commissioner to deny or revoke company registrations if they are linked to unauthorised gambling activity.
Taken together, the legislative reform serves to fortify Gibraltar’s regulatory environment in line with the expectations of both the FATF and the EC.
https://next.io/news/regulation/gibraltar-removed-eu-aml-grey-list/