Spanish prime minister Pedro Sanchez has said he is hopeful of reaching a deal over Gibraltar by the end of next month.
“On the issue of Gibraltar, our focus is absolutely that of a matter of state and we hope to reach agreement with the United Kingdom in October,” he told EU leaders attending a summit in Salzburg, Reuters reported.
“As such there is one dimension, which is the relationship between the European Union and the United Kingdom, and another, more specific bilateral dimension, which is Spain with Gibraltar.”
Contact
In Gibraltar the government has described the negotiations as “discrete contact” not bilateral negotiations.
Gibraltar’s chief minister, Fabian Picardo, said this week: “A Spanish willingness to construct a more positive relationship has been increasingly evident in recent months.
“We are making progress in many of these respects in a manner which will be good for Gibraltar if we are able to reach agreements.
“None of that will involve any agreements which are detrimental to Gibraltar’s interests.
“What is true is that we are working on the inclusion of Gibraltar in the (Brexit) Withdrawal Agreement with some terms, which are differentiated from the terms applicable to the rest of the United Kingdom, as required by our geography and our current terms of membership of the European Union.”
Jobs
Progress also appears to being made on talks between Gibraltar and the adjacent Spanish town of La Linea.
According to news agency EuropaSur, the town’s mayor has lobbied for crossborder product providers to receive special tax treatment if they must decamp to La Linea.
Malta has already made overtures to industry, tempting over STM Life earlier this month, creating a fear of job losses from the Spanish and Gibraltarian economy.
La Linea campaigner and partner with Hassans International law firm, Nigel Feetham, told International Adviser: “It must be viewed as positive that Gibraltar is talking directly to Spain about ensuring normality prevails at the Gibraltar-Spanish frontier, which is used every day by thousands of Spanish residents who work in Gibraltar.
“Both sides have also made clear that sovereignty is not part of these discussions. My own personal view is that I believe a sensible solution will be achieved, which can only be to the benefit of both sides.”