Government says re-development of Victoria Stadium can now go ahead, following 'El Murga' judgment

The Government has welcomed the judgment, saying demolition and re-development of the Victoria Stadium can now go ahead.

More widely, it welcomes confirmation that the Section 66 mechanism is constitutional and the notice issued by the Governor was both lawful and appropriate.

It feels vindicated that it acted lawfully to obtain vacant possession of the Victoria Stadium site in the public economic interest.

The Government says Mr Asquez's demand, valued at over 2 million pounds, was wholly unreasonable and unjustifiable.

In a statement the Government points out the judgment upholds its interpretation of the law and proves it was acting responsibly and in the best interests of the taxpayer and the wider community. 

It says it's always acted reasonably and with goodwill and sought a negotiated outcome without compromising the delivery of a National Stadium.

It points out that over the course of negotiations, the Government extended multiple settlement offers including compensation for the early termination of the tenancy, a 21-year lease in the new stadium development, and payment for relocation and refurbishment expenses.

The Government adds that in trying to avoid legal proceedings and procuring a settlement of the dispute, these offers exceeded the Claimant’s statutory entitlement of £115,440 and were made in good faith.

Unfortunately, it says, the offers were consistently rejected by Allan Asquez whose demands were for more than seventeen times the Claimant’s legal entitlement.

It concludes the  redevelopment of the Victoria Stadium into a UEFA Category 4 National Stadium is a vital national project that will benefit present and future generations of Gibraltarians. 

Demolition works on the western stand are expected to begin later this year.