EU and UK reach post-Brexit agreement on Gibraltar

Brussels – No more land border controls, police cooperation, visa rules for non-residents following the Schengen area, and free movement regulations: Spain and the United Kingdom reached an agreement on Gibraltar, thus resolving the last outstanding Brexit issue. The parties in Brussels signed the understanding (Spanish Foreign Minister José Manuel Albares and British Foreign Minister David Lammy, together with Gibraltar Prime Minister Fabian Picardo, mediated by Trade Commissioner Maroš Šefčovič).

No more land border controls

One of the main points of the political agreement concerns the free movement of persons and goods. The parties pledged to guarantee this for the land border and all inflows and outflows between Spain and Gibraltar. It is estimated that around 15,000 people cross the Spanish-British land border of Gibraltar daily, including thousands of cross-border workers who live in Spain but work across the border.

“With this agreement, the barrier will disappear,” Spanish minister Albares said. “It is the last wall on continental Europe” to be removed, he added. Checks will carried out at the port and airport, and they will be dual: Spain will carry them out for the EU, while authorities in Gibraltar will continue to conduct them for the UK.

Gibraltar’s economy and way of life was under threat.

We have secured a practical solution which safeguards sovereignty, jobs and growth.

Working in lockstep with @FabianPicardo we have ensured Gibraltar’s interests – as part of the UK family – are at the heart of this… https://t.co/efngUyhQ2X

— David Lammy (@DavidLammy) June 11, 2025

United Kingdom, one foot in Schengen and one in the Customs Union

The political understanding does not affect British sovereignty over the stronghold, a central point that, for London, represents an indispensable element for the future. Gibraltar is and remains of the United Kingdom. However, for His Majesty’s citizens not resident in Gibraltar arriving there, the Schengen rules will apply: this means that they could be turned back by the Spanish border police, based at the port and airport of Gibraltar, if they have already spent 90 days in the Schengen area out of a period of 180 days. This element may not sit well with the British Conservatives. The presence and authority of the Spanish crown in the Gibraltar port and airport could be seen as a reduction of British sovereignty.

Furthermore, as far as goods are concerned, an agreement has been reached for the British territory at the ‘Pillars of Hercules’ to apply an indirect taxation system in Gibraltar, also on tobacco, which will prevent distortions and contribute to the prosperity of the whole region. This marks the entry of the British territory into the Customs Union. The British Foreign Secretary, Lammy, speaks of victory: “We have achieved a practical solution that safeguards sovereignty, jobs, and growth.”  According to Sefcovic, the agreement writes “a new chapter in EU-UK relations.” It will take time to translate into legal texts, but for the EU commissioner, the deal “is a truly historic milestone for the EU, including Spain, as well as for the UK.”