As the UK moves closer towards triggering Article 50 and formally starting the process for a Brexit there is considerable disquiet among the European community. Brexit does not only pose questions on the future of the European Union itself but also puts millions of Britons living across the EU in an uncertain position.
There have also been many regional differences within the UK, e.g. Northern Ireland and Scotland as a whole voted against Brexit and so did the Overseas Territory of Gibraltar.
Gibraltar finds itself in a very strange position after the Brexit referendum. On one hand, the population is highly pro-British and on the other hand the economy is intrinsically linked to Europe and that’s not just the tourism industry, but critically the financial services, gambling and insurance companies which drive employment in Gibraltar and are highly reliant on the access to EU markets. While Gibraltar is not directly part of the EU Customs Union it has relied on the UK to go around this and access the multi billion Euro mainland Europe. On the other hand, in all this nationalist fervour surrounding Brexit, Spain again pressured the UK government to hand back sovereignty of Gibraltor or agree on joint-sovereignty, something Gibraltarians have successively and overwhelmingly rejected in 1967 and again in a 2002 referendum.
For Gibraltar to emerge from Brexit stronger and more robust it might need to do something radical. If a Spanish joint sovereignty is on the table, why not joint sovereignty with Ireland which can provide both economies with numerous advantages. For example, both Gibraltar and Ireland’s economies are highly aligned in areas such Tourism, Gambling and Financial services. With Ireland’s own Common Travel Area with the UK, Gibraltar will have easy access to the UK and the EU. Unlike other British Overseas Territories such as Falkland islands, Gibraltar has a self-sufficient economy which does not rely on British aid or military expenditure. Gibraltar has significantly shifted it’s economy from the 80’s into a thriving overseas territory with just 3% unemployment, a GDP per capita of nearly $71,000 and a GDP of $1.87 billion for a population of just 30,000.
For Gibraltar, a joint sovereignty with Ireland would provide continuous access to EU Customs Union and a market of over 500 million, while UK and Ireland’s Common Travel Area will mean that Gibraltarians will have easy access to the UK as well which would be a win win for both sides. It also solves the Spanish border issue.
There are also many other similarities between both economies. American companies are increasingly using Ireland has a base for their European operations while Gibraltar is a global financial centre with the 5th highest number of banks per capita and second highest concentration of big four accounting firms per capita, next to only the British Virgin Islands.
Together, Gibraltar and Ireland have the potential to become the world’s foremost hubs of technology, financial services and gambling, rivalling any location in the world.
