Gibraltar hopes to develop partnership with UK on captives

Gibraltar’s financial services minister is still hopeful that the British Overseas Territory will be able to develop a successful partnership with the UK for its captive insurance regime. 

Nigel Feetham (pictured) made the statement as he spearheaded the inaugural session of the Government Working Group on a new captive insurance regime for Gibraltar. 

Feetham has stated that he would like to develop a "dual regime" in which any captive insurer that is writing UK business would have to respect the Gibraltar Authorisation Regime (GAR), meaning it would have Solvency II (soon to be Solvency UK) applied.

Feetham said last week that a first draft of the new pro-captive legislation was ready and would be shown to the working group.

Commenting on the proposed captive regime, Feetham said yesterday: “Whilst it will initially sit outside the common market (GAR) arrangements with the UK I believe it could in future be possible, through this regime, to deliver on a common objective, working closely with the UK Government and its industry, within GAR, such that Gibraltar can facilitate the regulatory regime and the UK the expertise and professional infrastructure, both sides contributing what the other can offer, making it a successful Gibraltar-UK partnership.”

In the statement, the Government said that this initiative fulfils a key manifesto commitment aimed at enhancing Gibraltar's insurance competitiveness.

The working group, convened by Minister Feetham, will collaborate closely with the Gibraltar Financial Services Commission (FSC). During the meeting, Minister Feetham shared the Government’s views on the captive legislation, laying the groundwork for further deliberations and refinements.

The establishment of a captive insurance regime represents a significant step forward for Gibraltar's financial services sector, the Government said, demonstrating its commitment to fostering innovation and competitiveness.