Spanish gaming operator Codere has moved its digital operations to the Spanish enclave of Melilla in a bid to reduce its tax burden.

Last Friday, the Autonomous City of Melilla, a Spanish enclave on the shores of Morocco, confirmed that Codere’s digital sports betting brand Codere Apuestas had moved its headquarters to the city. Local media quoted Melilla vice-president Daniel Conesa saying the city had been contacted by four other companies interested in making a similar move.

These companies are undoubtedly drawn by the 10% tax rate on gambling revenue offered in Melilla and its sister city Cueta, which is similarly situated on the African continent. That’s half the rate charged on the Spanish mainland, and Melilla has also slashed rates on the local equivalent of VAT for technology firms with the specific intent of attracting online gambling firms.

UK-based online gambling companies who currently use Gibraltar as their European-facing HQ may also be eyeing Melilla and Cueta – and other gaming-friendly hubs such as Malta – as a means to retain access to EU markets if the UK’s Brexit debacle continues to unfold as if organized by cranky toddlers.