Is Gibraltar expensive?
Short answer
It depends on what you are buying. Fuel costs less than the UK average and food carries no transaction tax, while tobacco has become much dearer and Upper Rock entry costs £30 per adult.
Detailed answer
There is no single answer, and prices have shifted since the UK/EU Treaty on Gibraltar began to apply provisionally on Wednesday 15 July 2026. The figures below come from official sources and GBC reports. Prices move, so treat them as a guide. Shopping and tax: since Wednesday 15 July 2026 goods in Gibraltar carry a transaction tax. The standard rate is 15% in the first year of the treaty, rising to 17% by the third year. Foodstuffs, non-alcoholic drinks and the supply of water have a 0% rate. The UK's standard VAT rate, by comparison, is 20%. Fuel: GBC reported on Friday 18 September 2026 that a litre of unleaded cost about £1.50 in Gibraltar, up from around £1.21 in March. The UK government's figures put the average UK pump price of unleaded at 168.14p a litre in the week of Monday 14 September 2026. Tobacco and alcohol: minimum retail prices for cigarettes rose by between 23% and 46%, GBC reported on Friday 2 October 2026. A pack of 20 premium cigarettes must now sell for at least £5.44, mid-high for £4.68, mid-ordinary for £3.69 and ordinary for £3.35. Tobacco and alcohol also carry excise duty, and there are limits on how much you can take into Spain. Visitor attractions: a Gibraltar Nature Reserve ticket costs £30 per adult and £22 per child aged 5 to 11, with under-fives free. The Nature Reserve Shuttle Bus from Market Place costs £40 per person, including the reserve ticket. The cable car is closed for a rebuild and is not operating in 2026. Living costs: the Government's Index of Retail Prices showed annual inflation of 2.5% to Wednesday 1 April 2026. For eating out, housing and property prices, see the related questions below.