End of tax-exempt regime leads to representations to Govt

by Joe Garcia

Representations are to be made to the Gibraltar Government by a committee just formed in the finance centre as the problems that could arise from the demise of the tax-exempt regime begin to sink in.

Lawyer Louis B May has taken the lead in the matter and a meeting was held last week. A committee has been formed and a further meeting is due to take place this week.

This is the committee: David Cuby of Mutual Trust/ Finsbury; Marc Ellul of ECE Nominees; Leslie Livens of Atlas Trust; Liz Plummer of Fidecs; Lilliane Riederer of Fidux Trust; Desmond Reoch of Line Management; Jens Sorensen of Sorek Services; Jonathan Stagnetto of Form-A-Co and Louis Triay of Gibraltar International Trust Corp.

The committee is to consider the implications of the proposed changes to the exempt companies and ways of mitigating the effects.

Under the agreement reached with the European Commission, the tax-exempt companies will end by 2010. New entrants will be allowed only until June next year under certain conditions, There are nearly 8,500 exempt companies in Gibraltar.

The tax-exempt system is considered by the EC to be in breach of State Aid. It remains to be seen if any companies will want to leave before time and also if new entrants will be willing to enlist in the knowledge that the system will end within a few years.

Stagnation

A position of stagnation is in the horizon, it is said in the finance centre.

As the situation stands at present, there is no alternative product available to offer prospective customers.

There is hope in Government circles that the pending court case on the question of regional selectivity' will be won and that a new low-tax system can be put in place that will encourage new growth. But the later than happens, if it does, the greater the risk factor.

The European Commission rejected the Government's tax proposals on the grounds of 'material selectivity', but this would allow for an alternative tax vehicle to be proposed.

However, it was also rejected on the grounds of 'regional selectivity', which provides for tax harmonisation with the UK. If such a concept prevails, Gibraltar will be deprived of having its own, separate corporate tax system to that in the UK.

This would mean that an element of competition, which is so vital for Gibraltar to succeed, would be lost on a permanent footing.

From Panorama, Gibraltar's Online Daily Newspaper - Read more...

Neish is new Bar leader

Barrister James Neish is to be the next leader of the Bar, PANORAMA can advance today.

He will be replacing Tony Provasoli whose term of office is coming to an end.

Mr Neish, who is 53, is also a well-known and respected member of the legal profession.

His education took him from the Christian Brothers to the Grammar School and on to Nottingham university. He also attended at Inns of Court School of Law.

From Panorama, Gibraltar's Online Daily Newspaper

Is this a coward's lot?

by Susan Mansfield

"Byng would find himself ridiculed as the worst coward in British naval history. He came, he saw, he ran away."

IN MAY 1757, Admiral John Byng was sent with a fleet of ships to relieve the island of Minorca, which was then under siege by the French. Why, then, was he seen heading at speed for the safe haven of Gibraltar? Byng would find himself ridiculed as the worst coward in British naval history. He came, he saw, he ran away.

Byng would suffer the ultimate penalty for his crime. He was court-martialled and shot on board the Monarque at Portsmouth in March the following year, the only British Admiral ever to suffer this ignominious fate. But many believe his death was unjust. When studied more closely, the machinations of government - which engineered his fate and made him a scapegoat for their own failings at war - look very modern indeed.

A unique album of material relating to Byng and his death, which goes under the hammer at Lyon & Turnbull in Edinburgh today, shows the extent to which his case set the country alight. A large leatherbound book with The Tragedy of Admiral Byng inscribed on the spine, it is a collection of more than 180 items relating to Byng and his world: a verbatim account of his trial, published at the time to an eager audience; maps, prints and letters; as well as many examples of the cartoons, ballads and lampoons which were written about his case. Among the most valuable documents are a copy of Byng’s will, and the official signed dispatch from the King Louis XV of France concerning Byng’s vain battle. The collection is valued between £5,000 and £8,000.

Scotsman.com News - Features - Read more...

EU Commission investigates possible breach of Free Movement Rights

Pensioners rights in Gib and Community Care

The European Directorate-General for Employment has been contacted by former Spanish workers working in Gibraltar -pensioners at present - with a similar case to that of the British pensioner who was seeking Community Care funds (Dominique Searle reports).

The British pensioner’s claim was rejected last week although the Commission questioned the compliance with free movement of workers and people’s rights.

The Commission has confirmed that its services have had several exchanges of information with the UK authorities and say that the information received gave a clearer indication of the issues involved and that the relevant services of the Commission have started to analyse the whole issue under the scope of the Community law on free movement of workers and the social security systems.

The Commission told the Chronicle that it has not yet taken a decision. Nevertheless, the Commission stressed that it has the right to take action in this field if the outcome of its findings reveal an infringement to Community law.

“We are not yet at that stage, as the thorough analysis of this is going on.”

From The Gibraltar Chronicle - The Independent Daily First Published 1801

Property market set to adjust, says local expert

Finance Centre & Government Housing

Properties designed for high net worth individuals – the so called luxury market – will stop their furious price hike and stabilise as that market adjusts to the apparent shrinkage of the finance centre. That is the view of veteran property expert Momy Levy who also says that local property prices, those aimed at the Gibraltarian market, are currently over-priced.

The recent news that exempt companies are being phased out in the next few years and that there is pressure from the EU for change will not have a direct impact on housing for Gibraltarians but Mr Levy believes that artificially high prices on the local market combined with the much awaited Government backed ‘affordable’ housing plans will now cause a drop in prices currently being asked by the agencies. Even building societies which lend mortgages have been participating in the sale of properties at what has been an unprecedented rise in sale values.

The luxury market such as Queensway Quay, Ocean Village and the new Marina Bay complex are, says Mr Levy, likely to see less demand as outside investors wait to see the direction the finance centre takes.

However Mr Levy said that the Eastside development will be a major positive factor for Gibraltar if it goes ahead as planned.

This will change the character of Gibraltar and we will become a proper holiday centre. This will bring new people to Gibraltar and will compensate for any loss in the finance centre. It will put us on the map.

Mr Levy meanwhile predicts that as soon as the Government backed Sands project houses go on sale on 50/50 or 70/30 options the rest of the local housing market will drop its prices.

"Prices today are just not realistic. They cannot be justified,” says Mr Levy, recognising that demand and prices in Gibraltar has even led to inflation of prices in the immediate vicinity across the border especially La Linea.

And Mr Levy insists that the way ahead for Gibraltar is to keep building more houses for Gibraltarians so that they can afford to live in Gibraltar rather than opting to live away. He suggests that when MoD releases more land this should have special concessions for developers who purchase to build for the local housing market.

From The Gibraltar Chronicle - The Independent Daily First Published 1801

Small Businesses lash out at over-regulation

* Bossano turns down Gibraltar Federation of Small Businesses (GFSB) invite

Marilou Guerrero, chairperson of the GFSB, has hit out at the red-tape and “over-regulation” that has been introduced into Gibraltar’s banking system. She told a gathering of the business community that it was easier to open an account anywhere else.

In a brief speech to introduce the key speaker – the Chief Minister Peter Caruana - she made clear that the Federation will continue to campaign for action on the many areas where it wants Government to provide a supportive environment.

And it emerged that the Opposition Leader Joe Bossano had declined the invitation to be present at the dinner. It is understood that the Opposition had got wind of the fact that the Chief Minister was using the occasion to criticise the Opposition but the GFSB does not have the tradition that the Chamber of Commerce follows of alternating between the Chief Minister and Mr Bossano at their functions.

Meanwhile the GFSB revealed that a survey of its members shows that 66% are in favour of the controversial funicular project.

In a statement the GFSB said that its Board of Directors, whilst having their own ideas and feelings as to the proposal, felt that it was necessary to obtain the consensus of the members before confirming their position. They sent a circular to members asking for their opinions and can now confirm that based on the responses the members of the Federation are in favour of the project in the ratio of two to one. For both those in favour and those against there were many similar comments and also opposing comments.

In general terms GFSB highlighted below some of the more interesting comments:

• Tourism is the future mainstay of Gibraltar
• Competition is good for the community and business.
• Further details need to be made available to ensure that all parties have full knowledge of matters that can be considered of public importance.
• Existing facilities need to be improved and we need to create new innovative products.
• Heritage and environmental aspects must be considered by experts in the field.

From The Gibraltar Chronicle - The Independent Daily First Published 1801

Pension Working Group meeting in London

A meeting of the working group on pensions which was established under the trilateral process of dialogue on 16 December 2004 between the British, Spanish and Gibraltar Governments was held yesterday in London.

A Gibraltar Government spokesman said:

This meeting provided an opportunity for discussion, clarification and exchange of information between officials of the three governments. Our officials made clear that they were willing to provide information to enable all concerned to have a better understanding of the background and facts relating to the issue and restated the Gibraltar Government’s well known position in the matter. It was agreed to hold a further meeting later this year.

Meanwhile CITIPEG, a breakaway organisation of former Spanish workers on the Rock yesterday held a public meeting in La Linea that was attended by some 20 pensioners. CITIPEG are demanding improved employment and pension rights for Spanish workers in Gibraltar and timed their event to coincide with the talks going on in London.

CITIPEG are backed by the trade union UGT (Unión General de Trabajadores) and by the local Moroccan Community Association who in turn are seeking their support to campaign for the setting up of a Tangier ferry link from La Linea.

From The Gibraltar Chronicle - The Independent Daily First Published 1801

New Scientific Publication for GONHS

The Gibraltar Ornithological & Natural History Society (GONHS) has just issued a new publication, going under the title of Iberis: the scientific journal of the Gibraltar Ornithological and Natural History Society.

Iberis takes the name of the Gibraltar Candytuft, Iberias gibraltarica, which in Europe is found only in Gibraltar, but is also found in north Morocco. Iberis will be publishing scientific papers on the biology of the Strait of Gibraltar, which adds to the suitability of the journal’s little.

Published in full colour, the first issue carries articles on birds and invertebrates. One of the articles, by Charles Perez, records the first ever record in Europe of the Mountain Chiffchaff, a bird from the Himalayas, ringed at the GONHS station at Jews’ Gate.

Other articles are on invertebrates, including a review of Gibraltar’s land molluscs by Alex Menez, of isopods (woodlice and their allies) by Jason Easter, of beetles by Charles Perez and Keith Bensusan, and another on dragonflies by several authors including Paul Acolina. Another article confirms the presence in Gibraltar of the Scorpion.

The new journal is edited by an editorial board which includes GONHS members and university professors from three continents, Prof Mohamed Mouna of Rabat University Mohamed V-Agdal, Prof Agustin Fuentes of Notre Dame University, Indiana, USA, and Prof Antonio Galán de Mera from San Pablo University in Madrid. Co-ordinating the publication is Corresponding Editor Dr John Cortes of GONHS.

Iberis will be distributed to learned Societies and Universities around the world.
Copies of Iberis are available free to GONHS members and are on sale to the public for £2.50 at The Nature Shop in Casemates.

From The Gibraltar Chronicle - The Independent Daily First Published 1801

Reformists warn against the ‘Monaco-isation’ of Gibraltar

The Reform Party yesterday expressed concern about the forthcoming multi-million pound Eastside development.

The party criticised the scheme as “yet another luxury enclave for the rich” and said it will be well out of financial reach of ordinary Gibraltarians. The Reformists said that the 2200 apartments planned for the development will not do anything for the Gibraltarians “who now find themselves having to live in ‘accommodation exile’ over the border.”

They added:

The much-heralded extra 200 offsite ‘affordable’ units associated with the project do constitute a positive element but what exactly will the word “affordable” mean in the long term? In any event, the whole site should have been used for this purpose.

From The Gibraltar Chronicle - The Independent Daily First Published 1801

UK "Freepost" does not apply in Gibraltar, says Gibraltar Post Office

Gibraltar Post Office has said it has noticed with concern a significant increase in postal items which are being posted in Gibraltar without any postage stamps and addressed to the UK and other destinations, and sent as “Freepost”.

A spokesman for the post office said:

Many of these items are included in Business Reply pre-printed envelopes, which state on the face that no postage stamps need to be affixed to them. For the avoidance of doubt, the general public is reminded that UK Business Reply and Freepost services do not apply to Gibraltar.

The public is informed that if such items are posted in Gibraltar without being prepaid in Gibraltar postage stamps, they will be returned to sender if the name and address of the sender appears on the back of the envelope, in accordance with postal regulations. If there is no return address for the sender, items of this sort will not be forwarded to destination and instead they will be destroyed.

Local mail addressed to Gibraltar addresses and included in a specially preprinted envelope which indicates that it can be sent by Freepost will continue to be delivered free of charge. However, only items included in pre-printed Freepost envelopes will be treated in this way. Other items which do not conform with these requirements will be treated in the way prescribed by regulations.

From The Gibraltar Chronicle - The Independent Daily First Published 1801

Gibraltar Civil Servants in Londond for Spanish Pension talks

• Gib no responsibility, say GSLP/Libs

Gibraltar Government Chief Secretary Ernest Montado and the Director for Social Security Mario Gomila are in London today to attend talks on pensions under recently agreed Gibraltar – Spain – UK trilateral process. The issue being discussed is the claim by Spanish former Gibraltar workers on their pension entitlement. The meeting is being held at a technical level.

Meanwhile the GSLP/Libs has said that the position is “clear and publicly known to all concerned” and that Gibraltar has no responsibility in this matter. “It is difficult to understand why this requires a meeting of experts or what any Gibraltar expert can contribute to such a meeting,” Leader of the Opposition Joe Bossano said yesterday.

Mr Bossano further argued that there is no indication that Britain is prepared to make any re-valued payments of the frozen pension but that if it is reconsidering its position, local pensioners would be equally entitled “if these are made to Spanish workers so that they are treated in the same way.” He continued:

A meeting today under the agreed new framework announced last year will discuss the claim of former Spanish workers receiving a pension from the UK Government in respect of their pre-1969 social insurance contributions. In this first meeting there will be participation by experts from Gibraltar, Spain and UK to consider the technical aspects. The Spanish Government view appears to be that the purpose of this exercise is to convince UK and Gibraltar of their respective responsibilities in the alleged discrimination against Spanish pensioners.

In 1989 the UK Government agreed to pay re-valued pensions to former Spanish workers for five years only and on condition that they remain frozen in that period. At the end of the period, in 1993, the Social Insurance fund was dissolved at the insistence of the UK Government who said there was no obligation to pay any further pensions at all. In 1996 when the UK was on the point of being taken to court by the European Commission, the UK Government reversed its position and offered to pay pensions for life subject to the same conditions imposed in 1989 that they remained frozen. Since the grievance of the Spanish pensioners is that the pensions should not have been frozen in 1989, and this was a policy decision taken by UK Government, it requires no technical analysis. It simply requires to persuade London that they should reverse the decision they took in 1989, just like in 1996 they reserved the decision taken in 1993 which had been to discontinue payment and dissolve the fund.

As far as we are aware, there is not the slightest indication or hint on the part of UK Government of a willingness to change its position and increase payments, either currently or backdated to 1989. It is therefore difficult to understand the optimism expressed by the Mayor of La Linea, following his meeting with the Spanish Director General for Europe Mr Pons, that this matter is going to be resolved.

If UK is reconsidering its position and planning to reverse the conditions it imposed originally, then this should be confirmed to persons receiving social insurance pensions from the Gibraltar fund, who would be equally entitled, from the local fund, to revaluation of their frozen pensions and backdated payments if these are made to Spanish workers so that they are treated in the same way. This would require legislation to be passed by the House of Assembly. The Opposition are therefore entitled to know whether UK is planning to do this or not given that such a move would have legislative effects. There are also financial implications for the resources required from the Social Insurance Fund which, as has been pointed out on several occasions, has been shrinking since 1996.

Commenting on the talks on pensions Mr Caruana last night said that the Gibraltar Government is, as is has always been, happy and willing to provide information and also explanations and reasons for its well known position on this issue.

This position will not change. But we welcome this fresh opportunity to explain our position directly to our Spanish interlocutors and thus help to ensure that Spanish public opinion, especially in the Campo, does not hold Gibraltar culpable or responsible, with consequent ill effect on cross border relations.

From The Gibraltar Chronicle - The Independent Daily First Published 1801

Gibraltar's economy "has never been better"

Chief Minister’s address to the Gibraltar Federation of Small Business (GFSB)

The economy of Gibraltar has never, in the entire history of Gibraltar, been more prosperous and successful than it is today.

That was the message delivered by Peter Caruana, Chief Minister, to the GFSB annual dinner last night at the International Casino.

Mr Caruana told guests that the economy (GDP) has grown overall in size by more than half, that is by 55% since 1996, from £327 million to £507 million as at March 2003. And he says that the number of jobs in the economy is at an all-time high, and still growing; the unemployment rate is at a record low at less than 2 %, technically “full employment”. According to Mr Caruana average earnings have risen by more than 30% since 1996 and take-home pay by even more, since cuts in personal taxation. The gaming sector alone is now employs about 1000 people.

Mr Caruana also reported that Government revenue is at an all time record level and that in excess of £150 million over 8 years in publicly funded capital projects. Health spending, as one example, has doubled in 8 years on such things as a dedicated ambulance service, many more doctors and nurses, new medical services, he said. But Government has nonetheless reduced personal taxation in Gibraltar by more than 36%. “These are the true measures of our economic performance,” Mr Caruana told traders.

“It has become fashionable for the Opposition to say that Government is short of money. If Government decides not to throw away a motorbike just because it suffers a breakdown and needs a repair, and instead chooses to repair it rather than buy a new one, this is presented as evidence of shortage of money!” said Mr Caruana rejecting Opposition criticism. He jibed further at them with the announcement on the Eastside project:

This directionless Government with no economic policy has just signed an agreement for Gibraltar’s largest ever inward investment project. Clearly those willing to invest in excess of £1 billion in Gibraltar do not share the Opposition’s assessment of the Government’s handling of our economy, or of Gibraltar’s future prospects!

He added:

People will have to judge for themselves whether this statement is justified by what they see going on around them or whether it is the somewhat ”tongue in check” political wishful thinking of my political rival.”

EU State Aid

On the deal over exempt companies Mr Caruana stated that while not containing everything that the Government wanted it does deliver sufficient certainty and stability to avoid the worst consequences for Gibraltar.

“Compared to what the economic position would have been if we had not reached an agreement, this is an excellent agreement.”

He said that no one who understands the issues involved and the consequences for our economy of the position that Gibraltar faced, could possibly believe that Government exaggerated the threat.

Mr Caruana also touched on the funicular project, the La Linea Mayors claims that the Eastside project will have a negative environmental impact and collection of arrears.

From The Gibraltar Chronicle - The Independent Daily First Published 1801

Read Full Text of the Speech on 'The State of Economy' of Gibraltar by the Chief Minister, Mr Peter Caruana here.

AquaGib strike suspended

Action has been suspended by AquaGib workers who have also indicated their willingness to sit down with management and establish negotiations. That follows a meeting of union members yesterday.

The TGWU said that the statement issued by the company on the dispute has created great discontent amongst the workforce and came close to enforcing a decision to take industrial action yesterday. However, with an assurance from management that they will have a reply by next Friday, the TGWU agreed a suspension of action for a week.

The AquaGib staff are seeking that differentials with their Government counterparts be sustained at the levels they were when the workers left Government employment and joined Lyonnaise des Eaux which later became Aquagib.

From The Gibraltar Chronicle - The Independent Daily First Published 1801

Gibraltar hits a record low temperature of 10 celsius!

Cold weather sweeps in

By Alice Mascarenhas

It was wrap up – and still feel the cold yesterday. “Isn’t it cold today…” proved to be the opening line to every conversation as temperatures remained just above freezing. There were even icicles on the shrubs at Devil’s Tower Camp still there at midday. In town a temperature gauge in the middle of Main Street read 6 Degrees Celsius throughout most of the morning. But it was the temperature experienced from Thursday night to Wednesday morning which proved to be a record breaking low for January.

Not surprising when the temperature at 9am yesterday dropped to just 1 Degree Celsius it was the lowest ever recorded. In fact the lowest since measurements began in 1949 - more than half a century ago.

“To be exact the minimum temperature of 1.0 Degree Celsius occurred this morning at 9.06am,”

Jim McGhee Principal Met Officer at RAF Gibraltar told the Chronicle yesterday.

The main reason we are experiencing this is because the upper and surface weather patterns are bring cold air from Siberia right down across Europe and even into North Africa,” he explained.

Tangier had already recorded zero degrees Celsius on Monday night. It was expected to be another cold night last night similar to or perhaps even lower than Wednesday night. The minimum temperature today expected to be around 2 Degrees Celsius.

It will slowly warm up over the weekend - during the day it will still be sunny with clear blue skies and temperatures up to 12 or 13 Degrees Celsius.

From The Gibraltar Chronicle - The Independent Daily First Published 1801

MOD “misrepresents true position” say GSP

Dispute deepens

Gibraltar Services Police staff association has questioned whether the MoD assertion that it is committed to a good employment relationship is not “an empty promise.” In a statement issued yesterday the association argues that the true position is that the MoD acts “as judge and jury in its own cause without entering into proper discussions” while insisting on using the “ineffective Whitley procedures” to resolve disputes.

A GSP staff association spokesman said:

It is not our intention to conduct detailed debates on the substantive issues through the media. However the MOD’s statement requires to be answered as it seeks to misrepresent through the use of disputed details what is the true position. We have stated that the purpose of the silent protest (which has been carried out impeccably and with dignity by our members) is for the purpose of achieving an effective consultation dispute and resolution procedure through which the substantive issues can be resolved. This is not controversial as such a procedure has been in place for our UK counterparts for a considerable period of time.

We welcome the MOD’s commitment to good employment relationship but do not welcome their continued insistence on using the present Whitley procedure we have described as being ineffective. We do not understand why the GSP cannot have a consultation and dispute resolution procedure like its UK counterparts.

We reject the suggestion that there has been any substantive internal consultation, legal or ministerial correspondence. The internal consultation is conducted through the present procedure in which the MOD is judge and jury of its own position. There has been no legal debate between the parties’ respective legal advisors as the MOD’s stated position is that it does not deal with legal advisors. There has been no ministerial correspondence on any substantive issue and indeed the Ministers of State have refused to meet.

For the avoidance of doubt the “mistakes” (possibly a euphemistic word) referred to in the MOD’s statement are of their own making. Those “mistakes” have ramifications that the MOD has refused to discuss. The litigation mentioned deals only with one aspect of the ramifications from those “mistakes”. The MOD also refers to its supposed generosity in seeking to recover only the last 12 months of the alleged over payment. It does not say its own rules prevent recovery over 12 months. The MOD does not say that we have raised the question whether as a result of their “mistakes” they are entitled legally to recover.

Therefore the true position is that as judge and jury in its own cause, without entering into proper discussions, refusing to reconcile a contradictory position, and by reason of its own “mistakes” the MOD says it is firm in its commitment to recover an alleged overpayment. Can this be described as a good employment relationship particularly when the MOD appears to insist in using the current ineffective Whitley procedure to resolve disputes?

The Minister of State, Ivor Caplin, has recently talked of a more business like approach. We share that view and the GSPSA has proposed a draft for a new consultation and dispute resolution procedure (based on the procedure in place for our UK colleagues) and we will see whether or not the MOD’s desire for a good employment relationship is merely an empty promise

.

No Moratorium on deductions, says Caplin

The Ministry of Defence will not be placing a moratorium on the deduction of Gibraltar Service Police salaries until discussions between the GSP Association and their solicitor have been concluded, a British Government spokesman has said in the House of Commons. Secretary of State for Defence Ivor Caplin declared that the GSP Association has been aware of the Department’s intention to recover the overpayment of rent allowance since June 2003. Labour MP Andrew Mackinlay also asked on what occasions in the negotiations between his Department and the GSP Association his Department formally raised its intention to deduct moneys from police officers’ pay in relation to rent and other allowances. In reply Mr Caplin said that officials in Gibraltar wrote to the Chairman of the GSPSA in February 2004 setting out their position in detail and explaining that recovery action would only be taken for the last 12 months overpayment. He added:

The subject was discussed again at the GSPSA Whitley meeting in May 2004. In June 2004 Officials wrote to each individual affected by the overpayment explaining that recovery action would be taken. A subsequent letter was sent in November 2004 as a result of a recalculation, reconfirming the intent to deduct monies owed.

From The Gibraltar Chronicle - The Independent Daily First Published 1801

Gibraltar Gay Rights (GGR) takes measures to ensure data privacy

Following a decision taken in order to fully protect the privacy and personal data of all members, GGR has taken measures to permanently delete all personal information from its records.

This is purely an administrative move which has been taken in response to concerns from individual members who, living as they do in a small community such as Gibraltar, have expressed a desire to maintain anonymity. As GGR's overarching aim is the respect for individual liberty, the group has willingly agreed to remove all such data from its records.

We have responded to individual concerns by adopting measures and policies which guarantee total confidentiality of data. Whilst this could prove administratively problematic in the early stages we expect the transition to be smooth. Our studies show and we firmly believe that people in our small community will feel more comfortable in thus contributing to the work on Equality which GGR has been pursuing for the past over 4 years,” a spokesperson for the group stated. “In this sense, the group's move to increase data protection is fully in line with its commitment to total confidentiality regarding individual information which has been a key point since its inception.

Gibraltar Gay Rights Press Release - 24th January 2005

Speech on 'The State of Economy' of Gibraltar by the Chief Minister, Mr Peter Caruana

The following is the FULL TEXT of the speech made last night by the Chief Minister, Mr Peter Caruana on the ocassion of the Annual Dinner of the Gibraltar Federation of Small Businesses (GFSB)

Madam Chairperson, Distinguished fellow guests, ladies and gentlemen given the wholly misleading assessment made recently by the Opposition about the state of our economy, I welcome this appropriate opportunity to speak about that, to review the state of the economy and to comment on related current issues.

The State of Economy

Every year since 1996, I have explained the underlying philosophy and core elements of our economic policy. These remain the same. They are to pursue policies that create an environment that promotes increased levels of business activity and investment (that is to ensure economic growth) not least by promoting international investor confidence in Gibraltar. Thereafter, to share the proceeds of that success in three parts. First, in reducing personal taxation (which we have done every year since 1996). Second, by investing in improving our essential public services (of which I will say more in just a moment); and third in making capital investments in our future, our city and its public, economic and social infrastructure.

The economy of Gibraltar has never, in the entire history of Gibraltar, been more prosperous and successful than it is to-day. This is clearly shown by all relevant and usual economic indicators.

The economy (GDP) has grown overall in size by more than half, that is by 55% since 1996, from £327 million to £507 as at March 2003. The figures for 2003/4 and 2004/5 will show that it has grown still more. In 2002/3, the last year for which figures are available, it grew by 7.9%. The number of jobs in the economy it is at an all time high, and still growing; the unemployment rate (unemployed as a percentage of jobs in the economy) is at a record low at less than 2 %, which is in structural terms full employment; the tax yield from Company profits is at an all time high; ship visits and bunkering volumes are at record levels. Visitor numbers to Gibraltar are at record or near recent record levels; Average earnings have risen by more than 30% since 1996 and take-home pay by even more, since we have, at the same time substantially cut levels of personal taxation; the gaming sector is growing fabulously and now employs about 1000 people. Gibraltar has become a global leader in the virtual gaming industry; even in the finance centre, which has faced its challenges, employment levels have risen by more than 25% in the last 6 years alone.

This hugely successful economic performance has been, as we promised it would be, reflected in things that benefit the whole community. I have already mentioned the record number of jobs and the rising average earning levels. But this is not all. Government revenue is at an all time record level. This has allowed us to invest a sum in excess of £150 million over 8 years in publicly funded capital projects. This is itself a record which has allowed us to increase recurrent public spending in important public services such as health (in which spending has doubled in 8 years on such things as a dedicated ambulance service, many more doctors and nurses, new medical services etc.) education (where we have been able to invest in new school buildings; in a huge amount of community wide training; in increasing student grants and in abolishing parental contributions contribution) and not least in social services, that is the provisions for those in our community most in need of help and support (here we have been able to establish a drug and substance abuse rehabilitation centre in Gibraltar; vastly upgraded the service at Mt Alvernia; introduced a domiciliary care scheme, and a minimum income guarantee for the elderly; all but abolished tax for our elderly; introduced modern principles of care and accommodation for children and disabled persons in the care of the state; hugely increased the level of disability and social allowance and benefits (which had been frozen for many years); increased the wages and given occupational pensions to hundreds of low paid and pensionless publicly funded workers; established a modern, safe and reliable public bus service; established facilities for our citizens to better exercise their rights, such as the Ombudsman and the Citizens Advice Bureau. These are just some of the fruits that have been made possible by our economic success as a community. Individually each is important. Collectively, together with others that I have not mentioned, they have transformed many aspects of life in Gibraltar and Gibraltar itself, physically and economically.

And despite the very considerable capital and recurring annual budgetary cost of doing all those things, we have been able to reduce personal taxation in Gibraltar by more than 36%.

These are the true measures of our economic performance. The facts speak for themselves. You will therefore understand the degree of bemusement with which we hear the accusation levelled at Government recently by the Opposition that “the present Government has no economic policies and no sense of direction”. No-body with sufficient knowledge of economic matters could possibly come to that conclusion honestly. Indeed no-one could do so who has eyes to see, even if they are not economists.

Public Finances

Nor could that judgement be justified by reference to the state of public finances. Public debt is forecast to end this financial year at £93 million. This is just £10 million more than it was in 1995. As a percentage of GDP, which is the usual way of measuring public debt all over the developed world, ours has fallen from over 25% to less than 19% of GDP and that is using 2002/3 GDP figures. If you allow just 5% growth in GDP for each of 2003 and 2004, current debt as a percentage of current GDP is a mere 16.5%. This is very low by any standards in the world. Government reserves are forecast to stand at £35 million as at march 2005. This is higher than in the year 2000, despite the huge amounts of capital investments made since then.

Nor can the Government be said to have no economic policy or sense of direction or be short of money because Government operated a budget deficit last year, and will probably operate one this year. Unless, of course, all European countries have “no economic policies and no sense of direction” and are short of money, given that almost all european countries operate a budget deficit. Nor unless the previous Gibraltar Government also had “no economic policies or sense of direction” and was short of money because they estimated and actually produced consolidated fund budget deficits in 4 of their 8 years in office. No economically literate person would regard small, temporary budget deficits as a sign of lack of economic policies or sense of direction – still less as a sign of “shortage of money”.

It has become fashionable for the Opposition to say that Government is short of money. If Government decides not to throw away a motorbike just because it suffers a breakdown and needs a repair, and instead chooses to repair it rather than buy a new one, this is presented as evidence of shortage of money! If Government exercises normal and prudent budget discipline, by requiring departments to stick to the spending authorised by the House of Assembly (which, by the way, is a legal requirement), this too is presented as “shortage of money”.

If government departments overspend and Government requires them to bring under control just part of this over expenditure, this is presented as “spending cuts” and are said to be the result of shortage of money.

Apparently, as far as the Opposition is concerned, the definition of financial health and what the Leader of the Opposition called in his New Year address “sound management of our collective finances” is to allow everybody to spend as much public money as they like every year, year in year out, regardless of the effect on tax rates. How many of you would be willing to run your own businesses on that ridiculous basis. This is not serious economics. This is not a serious political economic debate or commentary. This is not even “kitchen economics”.

The Eastside Project

Well Madame Chairperson, in addition to everything else that I have just described, this directionless Government with no economic policy has just signed an agreement for Gibraltar’s largest ever inward investment project. Clearly those willing to invest in excess of £1 billion in Gibraltar do not share the Opposition’s assessment of the Government’s handling of our economy, or of Gibraltar’s future prospects.

You will already have read of the scale and content of this project. The positive effects on our economy, business levels and employment and government revenue will be very significant for many years to come. The gain in infrastructure is also huge – 2400 houses (200 affordable to local first time buyers), a 300 room hotel, a 300 large yacht marina, a cruise terminal, a doubling of the size of our two beaches and their protection by offshore underwater breakwaters; a new 30 mega watt generating station to replace and double the size of Waterport; a new sewer network and much else.

In terms of capital premium value to Government alone this project is worth £70 million and (depending on how many houses are built) upto around £100 million.

I’m sorry that the Leader of the Opposition should think that I am managing the affairs of Gibraltar inadequately. People will have to judge for themselves whether this statement is justified by what they see going on around them or whether it is the somewhat ”tongue in check” political wishful thinking of my political rival.

Whilst on the subject of the Eastside Development. I have read the reports of the comments by Snr Juarez, the Mayor of La Linea, in which he hopes that there will be an environmental impact assessment of La Linea’s coastline and that there will be discussion of this. There are, of course, EU Directives which stipulate when environmental impact assessments are required and how these should be carried out, both domestically and in relation to one’s neighbours. Gibraltar will of course comply with its legal obligations, such as they may be. However, I think that it is worth pointing out that Gibraltar has not been made aware of any environmental impact assessment of the effects on our coastline of any of the reclamation’s that have taken place nearby in Spain recently. These include the huge expansion of Algeciras Port, the Crisnavis dockworks in San Roque; the marina, wharfs and jetties within the Bay of Gibraltar at La Linea, nor the fishing port on the mediterranean coast of La Linea.

New Forum for Dialogue

Madame Chairperson, since 1996 the Government has pursued a policy of reasonable and safe dialogue with Spain. We have steadfastly refused to participate in bilateral negotiations between the UK and Spain because that is neither reasonable nor safe. Nor indeed is such dialogue consistent with our political rights as a people in our homeland. But we didn’t just say “no” to bilateral negotiations, for example under the Brussels Agreement. We said no, while at the same time publicly and confidently proposing a reasonable alternative structure for acceptable dialogue. Last autumn we were finally able to usher in a new process or forum for dialogue that meets all of the Gibraltar Government’s long standing and well known terms for dialogue. Through this safe and trilateral process, where we take part on the same basis as the other participants, with our own separate voice and with our agreement needed for all agreements, we will be working to improve relations and co-operation with Spain and to enhance the economic and social prosperity of the people of Gibraltar and of the Campo.

Spanish Pensions Issue

Spain has asked for the Spanish Pensions issue to be discussed as part of this new process of dialogue. The Gibraltar Government is, as is has always been, happy and willing to provide information and also explanations and reasons for its well known position on this issue. This position will not change. But we welcome this fresh opportunity to explain our position directly to our Spanish interlocutors and thus help to ensure that Spanish public opinion, especially in the Campo, does not hold Gibraltar culpable or responsible, with consequent ill effect on cross border relations.

Airport Agreement

Another issue for early discussion in this new trilateral forum is the possibility of reaching a new, different agreement, acceptable to all sides, that brings about expanded use of Gibraltar’s airport and air terminal. We hope that that will be possible. Spanish airlines are of course free to use the airport to-day, but we look forward to the possibility of reaching an expanded use agreement that will enable our airport to contribute more to the social and economic development of the Campo. However, any such agreement would need to be free of adverse Sovereignty implications for us. We look forward to exploring these possibilities to see if an agreement acceptable to all sides is possible.

EU State Aid – Tax Exempt Companies

Madame Chairperson these last few days has also seen the ratification by the full EU Commission of the agreement negotiated by the Gibraltar Government in relation to the continuation of tax exempt status on agreed terms. This agreement, while not containing everything that we wanted, delivers sufficient certainty and stability to avoid the worst consequences for Gibraltar. Compared to what the economic position would have been if we had not reached an agreement, this is an excellent agreement.

Our political opponents cannot decide whether to blame us for the original problem; to acknowledge the true extent of the threat that we faced and criticise the agreement for not delivering a “seamless transition” or to accuse us of exaggerating the problem to try and prevent the Government gaining political brownie points when we deliver an agreement that sufficiently protects Gibraltar. And because they cannot decide which to do, they do all three, despite the obvious contradictions involved. After all, if they think that we were exaggerating the state aid threat to our finance centre, in the first place, why nit pick about whether the agreement delivers a “seamless transition”. Either there was a significant threat or there wasn’t.

No-one who understands the issues involved and the consequences for our economy of the position that we faced, could possibly believe that we have exaggerated the threat. It is not possible to exaggerate the threat. Gibraltar can certainly choose to move from one competitive tax regime to another. But Gibraltar could not have withstood ending the current competitive tax regime (the exempt company) if it is prohibited from replacing it with another one (which is the effect of the regional selectivity issue). That is the threat that we faced. That is precisely the position in which the Commission fully intended to place us, and would have placed us in December, had we not reached this agreement. In fact, if the Government can be accused of anything, it is of down playing the threat, which we did in order not to inflict upon ourselves premature and unnecessary economic harm.

The negotiating priority for the Government was to secure for existing exempt companies continuity until after the Court case, thus saving exist business economic activity and the many hundreds of jobs that it sustains. This objective has been achieved.

Then second objective was to secure the ability to do new exempt company business in the future or as it is called in the EU jargon – new entrants. This proved to be very tall order because the EU Commission has not allowed new entrants in any other case. In the end we were able to obtain the right to new entrants until June 2006. Its less than we wanted but better than anybody else has managed to do.

Madame President, there are many other issues which I know are of interest to your members. Last time I tried to deal with too many issues in one after dinner speech it lasted nearly two hours! I know you don’t want to suffer that! I would however, just mention two other issues.

The Proposed Funicular Project

I am glad to see that a robust debate is taking place in the community about the pros and cons of the proposed Funicular Project. This demonstrates the need for and the success of our policy to introduce a public consultation phase in the planning process. For too long in Gibraltar, important and potentially controversial projects had been approved by Governments and DPC behind closed doors and presented to the public as a “fait accompli” when all decisions had already been made.

The open planning process that we introduced was designed to avoid precisely this. I am delighted that it is working well in relation to this project.

As Trade and Industry Minister Joe Holliday has said recently, the Government has an open mind on the project. The Government is not against it in principle, but subject to heritage and environmental factors which the Government has not yet considered or taken a decision about. The project would also need DPC approval. It is too soon to say whether Government will approve the project or not or whether DPC will approve it. But it is right and helpful that everyone has been able to have their say about it at a time when they can still influence the decision makers.

I understand that some established Gibraltar businesses feel that their own commercial interests are not helped by this competition. That, by itself, could not justify rejection of the project. The Government has to balance the private interests of some established businesses against the overall economic interests of Gibraltar as a whole. The Government believes that the increase in economic benefits to Gibraltar would be considerable.

I have also noted in letters written and public statements made by opponents of the scheme, remarks to the effect that, a further argument against the scheme is that most of the investors are “not from Gibraltar anyway”. I think that this xenophobic argument has no merit whatsoever, since the same can be said of all inward investment. All countries seek inward investment into Gibraltar. Such inward investment is vital to our economic prosperity and development. To suggest that outside investors are not welcome is a huge error of judgement which would cost Gibraltar dearly in the future. Would we say it of those who are about to invest £1 billion in the Eastside Development? Obviously not – but they are not from Gibraltar either.

As far as the Government is concerned the relevant question is whether this project would on balance of all relevant factors, be in Gibraltar’s interests. There are many factors that must be taken into account in making that judgement – economic and commercial factors, environmental factors, heritage factors, public safety factors, traffic management factors. The Government, and within its area of responsibility the DPC as well, will now balance these factors and make a decision – in doing so we will not be taking into account the nationality or the country of origin of the investors.

Arrears of Payments to the Government

Another issue, that I know concerns your Board is the arrears of taxes and other payments due by some companies to Government. Your Board, rightly in my opinion, takes the view that this results in unfair competition with those companies that pay their dues on time. I am happy to say that a much more aggressive process of arrears recovery is now well under way. It is also Government’s intention to introduce this year legislation to allow the Courts, in appropriate cases, to disqualify persons who preside over a company that goes into liquidation leaving debts from being involved in the management of any other new business afterwards. We will of course consult with your Board about that legislation.

By way of closing remark, Madam President please allow me to make this observation.

Time and time again Gibraltar demonstrates an extraordinary ability to overcome political and economic threats thrown in our path by others and which would long ago have “done for” much larger and richer communities than us. Some of the credit must go to Gibraltar’s politicians; some of the credit must go to the people of Gibraltar as a whole for our dignity and resolve in standing up for our rights and aspirations as a people. But a share of the credit must also go to Gibraltar’s businessmen, professionals and tradesmen for the skill and resourcefulness that they have shown for decades, and continue to this day to show, thus allowing us to prosper economically.

Last year was especially full of major issues. The MOD lands agreement, the new tripartite forum for dialogue, the EU State Aid negotiations, the start of Constitutional Reform talks with the UK, the Eastside negotiations, the Health services review and the preparations for the New Hospital. 2005 will see the major focus of domestic policy on housing

From Panorama, Gibraltar's Online Daily Newspaper

The Ayatollah, the Quixotes and the Raj

One month into the new year and nothing has changed, well, except the Exempt Companies' regime. Those affected by an over-indulgence during the festive season will have taken their final doses of liver-salts, others will have recovered from the recent flu epidemic and many are now engrossed in booking their next holidays. All along, the dialectic exchanges between the Gibraltar and Spanish Governments have continued.

On the one hand, the Chief Minister, time and time again, enlightens all and sundry with his 'translations' of the neighbours' every statement and comment. On the other, the Spaniards reiterate their adherence to the Brussels Process '84 and the Airport Agreement '87.

In the meantime, the F&CO sits on the fence, awaiting a favourable wind. The obvious question is simple: which interpretation do they share? Perhaps it has its own, or none at all for that matter. After all, the 'Spanish Dimension' has many possibilities and/or probabilities. As usual, one can only 'speculate' on the mandarins' intentions. Maybe it is allowing the Palacio de Santa Cruz its last 'coletazos', prior to a gracious climb-down that enables the 'tripartite' forum to get off the ground. Wishful thinking, if that is the case. The only way the Spaniards will distance themselves from the long-surviving process is if they believe that the annexe to the European Constitution provides them with so much more room to manoeuvre than the former did. Again, the F&CO may well be the only party that is keeping to the letter and spirit of the last paragraph in the 27th. October 2004 declaration, not necessarily out of conviction, but in its own vested interests.

Some might say that there is Jack Straw's 'infamous' letter to the Chief Minister, underpinning the latter's understanding of the issue. But no-one appears to have seen it, let alone knows exactly how it reads. No doubt, like everything else, it is subject to 'translation'.

Whilst the 'Ayatollah' at 6 Convent Place, the 'Quixotes', from Madrid all the way down to the Ayuntamiento in La Linea and the 'Raj', be it at Whitehall or at The Convent, persist in their respective lines of thinking, the scepticism and cynicism on The Rock will prevail. This does not augur well for the unity of purpose that is required in the, so-called, ' new climate'. The only antidote is transparency and unambiguous language, something ominously lacking to-date, at least from those that the Gibraltarians expect to do so. The Spaniards, true to form, are consistent.

All attempts to establish good neighbourly relations and regional co-operation, bereft of sovereignty concessions, must be fully supported. However, meaningful dialogue must not create 'undercurrents' of osmosis nor mortgage The Rock's future to Spain. Terms and conditions for this must be clear-cut and not susceptible to varied elucidation, as is the case now.

The Chief Minister should seriously consider publishing Jack Straw's letter. It will go some way towards uniting the People of Gibraltar behind his efforts. At the same time, H.E. The Governor can advance his 'bridge-building', between London and Gibraltar, by requesting the F&CO to categorically confirm that the Brussels Process and Joint-Sovereignty proposals are dead and buried, with no possible resurrection, spiritual or otherwise.

The VOGG will continue its campaign of protests and actions until such time as the 'Spanish Dimension', with all its baggage, is consigned to the bellows of Hades and Gibraltar is decolonised by the exercise of its people's unalienable right to self-determination.

Voice of Gibraltar Press Release - 25th January 2005

Storm over Eastside project as La Linea calls for its coast to be safeguarded

by PANORAMA reporter

No sooner was the Eastside project announced than the mayor of La Linea Juan Carlos Juarez came out saying that La Linea's littoral should be safeguarded.

Sr Juarez understands that the project is a Gibraltar matter, but he requests that there be an exhaustive report on the environmental impact beyond Gibraltar "because it is the case that the environment and geography have nothing to do with flags".

As a result, he considers it important to know, insofar as reclamation is concerned, if this can damage La Linea's littoral.

Sr Juarez is suggesting that this matter should be included in the contacts that the Mancomunidad have with Gibraltar to ensure that the environmental impact assessment is such that those on the other side of the frontier can feel in peace.

He is hopeful that his request will have the understanding of the Gibraltar government and that the said study shows a Gibraltarian interest to safeguard its own marine impact and the possible repercussions on the La Linea coast.

From Panorama, Gibraltar's Online Daily Newspaper

Spain 'happy' at way Gibraltar negotiations are going

The Spanish Foreign Ministry say they are happy at the way the Gibraltar negotiations are going, with a meeting due tomorrow on the Spanish pensions issue.

Benardino Leon, the No.2 at the ministry, has just concluded a visit to London where he held meetings with Europe minister Dennis MacShane and others.

All eyes are now on the pensions meeting tomorrow which Spanish sources describe as a study over the payment of pensions lost by the Spanish workers when Franco closed the frontier in 1969 - and the workers were forced by the then Spanish government to abandon their Gibraltar employment.

It appears no one has tried to put at least some of the blame on Spain itself for the action they took, as otherwise there would not have been a pensions problems as the workers would have been paid, like everyone else, their dues in social security over a normal work period.

Joint Use

The next meeting due is over what the Spaniards call the 'joint use' of the airport.

This is expected to take place next month, possibly continuing into March, with the chief minister having said that an agreement this year is possible.

Many people in Gibraltar dislike the use of the phrase 'joint use' as they see the issue as one where Spain wants to make use of Gibraltar's airport - but not under a joint use or control formula.

People say that Spain must recognise that the airport is Gibraltar's and that they can use it any time as there are no restrictions on Spanish or other airlines making use of it.

However, if Spain have difficulties about making such normal use of it, they should set out what measures are necessary to enable them to make use of it if they so wish. Gibraltar can then decide if what is required is considered to be fair or not.

Developments

with so many developments being planned, and no doubt extra use of the airport road, any increase in flights could lead to traffic being affected even further. It is thought that before any agreement is put in practice, there is a clear need to find an alternative route in and out of Gibraltar that will not affect traffic or airline arrivals and departures.

The possibility of a tunnel under the runway has long been mentioned, and this is a matter which ought to be treated in advance to any agreement. Even if the EU are prepared to help finance such a tunnel, there are questions as to where the tunnel would start and end on both sides of the frontier. A tunnel is not like a road, and requires much space to take account of gradients, for example.

Alive

Another matter of concern, at a political level, is that the Spanish Foreign Ministry should be saying that the 1987 agreement is alive. What do they mean by that? This is the agreement that has been rejected time and again by successive governments in Gibraltar. Any agreement based on it is bound to be a non-starter, say political sources.

From Panorama, Gibraltar's Online Daily Newspaper

EU rejects complaint from UK pensioner to have access to Community Care

Brussels: The European Union has rejected a complaint from a UK pensioner resident in Gibraltar who had claimed benefits from Community Care.

The person has a UK pension, is British, and is resident in Gibraltar, but this type of person cannot be considered an immigrant worker to whom European law should be applied. As such, the Commission cannot intervene.

The case was brought by Labour MEP Glyn Ford who represents Gibraltar as part of the South-west region.

The Commission noted that the residential requirement to benefit from Community care could be contrary to European norm on the freedom of movement of workers and others.

However, the pensioner was a UK national and had a UK pension, and could not be considered an immigrant worker, said the EC answer as distributed by Europa Press.

REGIONAL SELECTIVITY?

* It could be that since the EU considers Gibraltar as part of the EU for Community purposes, a British national moving from Britain to Gibraltar is not considered to be an immigrant as he is in the same country, it would appear.

In other words it could be that the EU considers the question of 'regional selectivity' as having a wider application than purely on company tax.

It also raises the question that if Gibraltar wins the case on 'regional selectivity', and it is deemed to be outside the UK, then cases like that of the UK pensioner might take on a new light.

From Panorama, Gibraltar's Online Daily Newspaper

Commemorate Holocaust

Equality rights group Gibraltar Gay Rights (GGR) has called for Holocaust Memorial Day to be commemorated in Gibraltar each year. The event already takes place in the UK and this year is celebrated today.

Chairman Felix Alvarez stated that “Today is a day when the suffering of victims of the Holocaust is remembered. I have written to the Jewish Community Managing Board this week expressing our solidarity with Jewish Gibraltarians. Too many millions of innocent people died at the hands of inhumanity for this to be a lesson that we should even risk forgetting. For this reason, I have once more urged for the official commemoration of Holocaust Day in Gibraltar too, coinciding with the annual date of the UK’s own commemoration,” the statement added.

“I have similarly expressed the same opinion in writing to the Chief Minister in the hope that Government will see fit to introduce this official commemoration – the introduction of which need not necessarily imply any new public holiday. Such an official commemoration would be a mark of respect and the manifestation of what the Chief Minister has said is his wish – the fostering of a “human rights culture” in Gibraltar."

From Panorama, Gibraltar's Online Daily Newspaper

Gibraltar Special Olympics in spirit of welcome

Leaving Gibraltar on 19th February will be a group of 14 Special Olympics athletes (comprising the floor hockey team) with their coaches bound for Nagano in Japan to attend the first Asian world winter games.

Going ahead of them will be John Aonso to participate in the Torch run. The Torch will have been lit in Athens and transported directly to Japan. An estimated two million people from all over Japan and five torches are expected to converge on Tokyo, the logistics of which escape me. The Flame of Hope will be lit there and then run to Nagano.

Nagano, n/west of Tokyo has been chosen because it held the winter Olympics in 1998 and has outstanding facilities. Encircled by the Japanese Alps these 3,000-meter high mountains of rich natural splendour have earned themselves the title ‘the roof of Japan’.

2,500 athletes from 80 countries are expected to attend the games which will be held from 26th February-5th March.

These games are an attempt to "promote among the public a better understanding of people with intellectual disabilities" says Hideaki Yasukawa, chairman of the 2005 Special Olympics World Games. Japan is not a disability friendly nation and the opportunity of the Games is being treated as an awareness campaign.

To facilitate this, towns are hosting athletes five days before the opening event to help the Japanese learn more about people with intellectual difficulties through shared experiences.

The Gibraltar group is going to Shimoyo, a village where the temperature stands at 0degrees but where a spirit of welcome in true Japanese style awaits them.

Our athletes will meet up with their friend Jon from the Isle of Man who has recently been welcomed on a visit to Gibraltar with his parents.

"We wish them all Godspeed on their journey to promote Gibraltar," said spokesperson Anne Mesilio.

From Panorama, Gibraltar's Online Daily Newspaper

MOD stands firm on ‘overpayment’ despite GSP protest

* GSPSA consulted throughout, says Defence spokesman

A silent protest by Gibraltar Services Police officers took part outside the Naval Base yesterday afternoon to complain against the Ministry of Defence over a series of unresolved pay and pay-related claims.

Meanwhile the Ministry of Defence responded to the criticisms made by the GSP staff association and in a statement issued last night expressed their disappointment with the action but reaffirmed their position in the continuing dispute.

An MOD statement said:

We note the action taken by the Gibraltar Services Police Staff Association with disappointment, particularly as the dispute has already been the subject of lengthy discussion through internal consultation, legal and ministerial correspondence. As this dispute is now the subject of potential litigation, the MOD is unable to discuss the case in detail. The MOD has though, involved the GSPSA at all stages of the process but there remains reluctance by the GSPSA to accept the MOD position.

Following investigations into the GSPSA’s claim of underpayment, the MOD found that mistakes in the implementation of various changes in pay and allowances had, in fact, resulted in a 3% overpayment to some GSP officers. In June 03 the MOD informed the GSPSA at a meeting of the local Whitley Committee that their claim had now been rejected and spelt out the reasons. The Whitley Process is the Department’s recognised discussion forum for staff and management.

MOD officials in Gibraltar wrote to the Chairman of the GSPSA in February 2004 setting out in detail the rationale of the Department’s position. This explained that, despite the fact that the overpayment has been paid since 1994, recovery action would only be taken for the last 12 months. The subject was discussed again at the GSPSA Whitley meeting in May 2004. In June 2004 Officials wrote to each individual affected by the overpayment explaining that recovery action would be taken. A subsequent letter was sent in November 2004 reconfirming the intent to deduct monies owed. Headquarters British Forces are now implementing the deductions at the end of this month.

The MOD is fully committed to good employee relations. Officials met with the GSPSA at the Whitley meeting as recently as 10 Dec 04 and will continue to converse using the Whitley process. However, the MOD stands firm on their position regarding the issue of overpayment.

GSP: NO RIGHT TO STRIKE

In common with their UK counterparts Ministry of Defence Police members of the GSP are excluded from the provisions of the Trade Union and Labour Relations Act of 1974. This means that they are debarred from taking any form of industrial action or strike. A spokesman for the GSP staff association said:

However the Police Federations in UK were able to renegotiate the Police Reform Bill after applying pressure to the UK Government by way of a protest held at Westminster in the form of a silent picketing by a cross section of all UK Police Services.

The GSP are carrying out the same kind of protest as that of their UK colleagues. The protest will be repeated at the same time this afternoon.

From The Gibraltar Chronicle - The Independent Daily First Published 1801

Reactions in Spain - Juarez calls for environmental study into Eastside Project

Mayor Juan Carlos Juarez has declared that the announced Eastside development in Gibraltar should incorporate an environmental impact assessment of La Linea’s coastline.

In a statement issued yesterday, Sr Juarez said that although this was a matter for Gibraltar, the magnitude of the project was such that it could have an effect on the overall environment.

Environmental and geographical issues have little to do with flags and it is important for us to know whether the Eastside land reclamation project will cause any damage to our coast, he declared yesterday.

Sr Juárez added that this issue should be included in the list of items for friendly discussions between Gibraltar and the Mancomunidad so that the technical study is carried out in order to reassure Campo authorities, including him. He added:

I sincerely hope that the Gibraltar Government understands this request and that the environmental impact study reflects Gibraltar’s interest in safeguarding the coast and any potential repercussion on La Linea’s maritime environment.

From The Gibraltar Chronicle - The Independent Daily First Published 1801

AquaGib workers consider further action

AquaGib employees, infuriated by statements made by their boss Manuel Perez, are meeting this morning to plan the next stage of their industrial action over their claim for maintenance of differential with public sector equivalent grades.

The workers demonstrated peacefully outside No. 6 Convent Place and the House of Assembly yesterday and produced copies of their correspondence and claims on this issue dating back months.

In a written response to the AquaGib management, TGWU branch officer Charlie Sisarello points out that the union has been pursuing the issue of pay differential between company employees and their counterparts in Government for a long time. He says these were established in 1991 when they employees moved from Government to the company. The letter states that in September 2001 they had agreed to:

Re-establish differentials that existed at the time of the company’s formation between company pay and equivalent grades in government; That the percentage differential agreed at the time of the company’s formation be applied in respect of each grade; Revise spine points and salaries to produce new pay scales; Revised salaries to be backdated to April 1 2001.

The letter also says that there was an agreement to review these on an annual basis to ensure the appropriate differentials are maintained and that future pay awards would be based on maintaining parity with the public sector. Mr Sisarello calls for these matters to be enforced to avoid recurring clashes.

From The Gibraltar Chronicle - The Independent Daily First Published 1801

Government resorts to smokescreens to hide the truth, says Bruzon

Supply care workers row

GSLP/Libs has accused the Gibraltar Government of resorting to smokescreens to hide the truth in the on-going row over the cancellation of induction courses at the Social Services Agency.

Opposition spokesman Charles Bruzon said it is “lamentable that Government should call me and the people that complained liars. The public can judge for themselves who is telling the truth.”

Mr Bruzon continued:

It must be obvious to the general public that the reaction of the Government to the issue raised by the Opposition of the starting and subsequent abandonment of induction courses for Supply Care Workers in the Social Services Agency is no more than a smokescreen to hide the truth. The issue is what has taken place in 2005 when persons aggrieved by the action of the Government approached the Opposition with their grievance and we raised the matter publicly in discharging our duty to scrutinise the policies of the Government.

It is absurd for the GSD Government to seek to justify its deficiencies, which it claims are not true anyway, by making wild unsubstantiated accusations about what allegedly took place in 1996. The previous Government in 1996 did not seek to justify any matter then by comparing it with what have happened in the Social Services in 1987. It would have been absurd to do so. What is most unfair and reprehensible, is to cast aspersions on the quality of the care provided to children by the public servants employed at the time in 1996.

What is also true is that, as the Government itself has said in the House of Assembly, the provision of resources to look after children taken into care, is demand-led, and there is much more demand now because more children are now in care than in the past, something we should all wish should not be necessary. To suggest that the children who were looked after in the home in 1996, were somehow ostracized and had any kind of stigma attached to them, is an insult to those young people affected and to this community, which has never attached any stigma to those