Decisive week for the Gibraltar Treaty: Demolition of the Fence, signing in Brussels, and provisional application

Eduardo González This Monday marks the beginning of an important week for the Treaty between the United Kingdom and the European Union on Gibraltar. It will start with the demolition of the border fence, continue on Tuesday with the signing of the agreement in Brussels, and culminate on Wednesday, July 15, with the start of the provisional application of the text. As Gibraltar's Chief Minister, Fabian Picardo, announced last Tuesday during the budget debate in Parliament, the treaty will be signed on July 14 in Brussels. “Last year I addressed the House 18 days after we reached a final agreement in Brussels on the UK-EU treaty, and this year I am addressing the House seven days before going to Brussels with the Deputy Prime Minister to attend the signing of that same treaty,” he stated. The formal signing will take place in Brussels, probably in the early afternoon, with European Commission Vice-President Maroš Šefčovič representing the EU and UK Foreign Secretary Yvette Cooper representing the UK. José Manuel Albares will be present on behalf of Spain, according to reliable sources who spoke to The Diplomat. The agreement will enter into provisional application at 00:00 on the day following its signing, July 15. However, once signed, and despite its provisional application, the text remains subject to final ratification by the EU, which requires approval by the Council and consent from the European Parliament. As this is an agreement within the exclusive competence of the Union, it does not require ratification by national parliaments. Prime Minister Pedro Sánchez was scheduled to travel to La Línea on Monday, July 13th, to attend the demolition ceremony of the border fence at 12:00 PM. However, he will instead visit the Advanced Command Post in Turre (Almería) to meet with those in charge of the emergency and coordination teams working in the areas affected by the fire in Los Gallardos. Maroš Šefčovič is expected to attend the demolition ceremony. It is currently unknown whether there will be any representation from the United Kingdom, following the recent resignation of Prime Minister Keir Starmer, who remains in office in a caretaker capacity while his Labour Party chooses his successor. Starmer was instrumental in unblocking negotiations when they appeared to have reached an impasse. The Treaty The Treaty, whose full text was published on February 26 by the European Commission, envisions the removal of the border fence, the last wall of continental Europe, and establishes that there will be no passport controls between the two territories. Spain will assume Schengen controls at Gibraltar's airport and port, and Spanish authorities will have the final say on the issuance and renewal of residence permits. In addition, the agreement regulates the movement of goods through a system of harmonized controls. Spain will carry out customs controls on goods entering Gibraltar, and baggage checks will be established for travelers bound for the European Union and Gibraltar, guaranteeing security and compliance with EU regulations. Regarding tax convergence, the treaty incorporates convergence measures for indirect taxation on goods. Gibraltar will apply an indirect tax equivalent to VAT, starting at 15% upon the treaty's entry into force and completing convergence within three years. Furthermore, specific provisions are established for tobacco in accordance with European regulations. The text also provides for adaptation to EU environmental regulations and the creation of a joint environmental impact assessment mechanism. It also guarantees compliance with European standards in this area, reinforcing the protection of the shared natural environment. The treaty also establishes a financial mechanism for job training and other social measures to compensate for income inequalities, strengthens coordination in social security matters, and includes specific protection measures for cross-border workers. Furthermore, the treaty states in its preamble that the elimination of “all physical barriers to the movement of persons and goods between the territory of the Union and Gibraltar,” including “cooperation in the areas necessary to establish an area of shared prosperity,” will be carried out “without prejudice to the positions of sovereignty and jurisdiction of Spain and the United Kingdom.” Therefore, it clarifies, “the Agreement, or any activity or measure adopted in application of or as a result thereof, does not imply any modification of the legal position of the Kingdom of Spain with regard to sovereignty and jurisdiction over Gibraltar.” In addition, the treaty contains a specific chapter on sovereignty which states that any supplementary agreement, any administrative agreement or other agreement related to this Agreement, and any measure, instrument or conduct taken in application of or as a result of, or pursuant to, this Agreement, “shall be without prejudice to, and not otherwise affect, the respective legal positions of the United Kingdom of Great Britain and Northern Ireland or the Kingdom of Spain with respect to sovereignty and jurisdiction, and shall not form the basis for any assertion or denial of sovereignty, including in judicial or other proceedings.” The negotiations The process leading to the signing began on December 31, 2020, when Spain, the United Kingdom, and Gibraltar reached an agreement in principle that avoided a scenario of abrupt rupture following the UK's departure from the European Union. This agreement then served as the basis for the European Commission's negotiations with the United Kingdom, which formally began in October 2021. After almost four years of negotiations, with periods of progress and others of stagnation, the European Union (represented by Maroš Šefčovič and José Manuel Albares) and the United Kingdom (represented by the then Foreign Secretary, David Lammy, and Fabian Picardo) announced on June 11, 2025, that they had reached a "final" political agreement on the fundamental aspects of the Treaty. On April 1, 2026, the representatives of the Member States in the Council of the EU authorized the signing and provisional application of the agreement. Following the publication of the text, Albares repeatedly asserted that it is a “historic agreement,” a “huge leap forward in terms of stability and prosperity for the 300,000 Andalusians in the Campo de Gibraltar region,” and a “new stage in the relationship between Spain and the United Kingdom.” For their part, both the People's Party (PP) and Vox have accused the government of having missed the opportunity presented by Brexit to demand progress on sovereignty over the Rock. Both the Spanish and British governments have maintained that the treaty safeguards their respective sovereignty claims over the Rock.

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