Rock bottom | Christopher Howarth

Gibraltar has a special place in British history which accounts for why it survived the mid 20th Century Imperial scuttle, remaining to this day a proud member of the British family. Yet there is a real danger that Gibraltar will be traded away to Spain and the EU as the latest in a series of Labour sell outs.

So important has the Rock been to British strategic thinking over the centuries that its retention was even prioritised over that of the American colonies — if Britain had decided not to abandon the blockade of Brest to send the relief convoy to save besieged Gibraltar in 1781, at the height of the American mutiny, then De Grasse’s French fleet would not have set sail for Chesapeake Bay allowing the French (sorry the Americans) to defeat the British at Yorktown. Having paid for Gibraltar in terms of the American colonies, Britain paid again in 1783 when it returned Florida to Spain in return for keeping Gibraltar at the peace settlement. Gibraltar is British and we have paid dearly many times over for its sovereignty.

However, Spain never gave up its hopes of regaining the rock. Much changed in the intervening years, they lost Spanish America, British ownership of Gibraltar came surpassing Spain’s short-lived 242 years (1462 to 1704). And yet a with a hapless UK Government, Spain has seen its opportunity and Gibraltar is now to be traded with the EU and Spain in a way that would horrify those who fought so hard to keep it. The Spanish PM Pedro Sanchez is overjoyed saying “after three centuries of no progress … this is a great day for the Campo doe Gibraltar (a Spanish Province) … all this without renouncing Spanish claims to the isthmus and the return of Gibraltar.”

Spain has every right to be proud of this achievement. The proposed agreement would place Spanish police within Gibraltar with a Schengen right to “hot pursuit” and “surveillance”, control over Gibraltar’s borders and via the EU to control its tax rates, environment laws, airport and government spending (state aid). It’s an “across the board” Spanish victory that will make Gibraltar noticeably less British and give Spain and the EU significant authority and effective sovereignty in Gibraltar all while Spain still claims actual full sovereignty.

It should come as no surprise that the Labour Government cares little for British sovereignty — the last Labour Government once attempted to hand joint sovereignty to Spain — and currently plans to pay Mauritius to take British sovereignty over the Chagos Islands. It has also promised to pay for a pointless “reset” with the EU with over £1bn worth of British fish per year. 

Gibraltarian politicians will now have to spend time in Brussels lobbying their new legislative masters on a whole range of issues

The plan for Gibraltar follows a similar trajectory. First deny there will be a deal, then announce there is a deal but lie as to its contents. In all this obfuscation they found a willing participant in Gibraltar’s Chief Minister Fabian Picardo — a socialist Labour Party aligned Pro European in charge of Gibraltar local Government. Picardo, like many in the British Government has little conception of the importance of Sovereignty, often even referring to “Gibraltar’s Sovereignty” — something that does not exist — while simultaneously claiming to be a stout defender of Gibraltar as a part of the British family. Yet Picardo is a useful tool in the hands of the UK Government, if he is happy they calculate those with legitimate concerns can be silenced.

Selling the sellout:

So, what does the proposed deal entail? We don’t have the actual text. Like medieval prelates they wouldn’t want the people to actually read it. We just have the press notes — as is always the case it is best to read the EU press release and not the UK government spin. The EU press release suggests the following:

  • Gibraltar will enter Schengen. This means there will be no British land border with Spain and those entering Gibraltar by air or sea will be met by Spanish border guards. 

[This is sold as being akin to French Police at St Pancras Station, which is obviously a lie — French border security doesn’t decide who enters Britain. (except perhaps when they wave the boats to sea in Calais). The UK has also claimed Gibraltar is not “joining” Schengen, which is a meaningless distinction as Gibraltar is not a sovereign state and could never “join”.

  • Britons’ time in Gibraltar will count towards the 90 day Schengen limit. Britons arriving in Gibraltar will have their visit counted against the 90 days Schengen totals with Spanish border guards able to deny them entry if they are at the limit or any other reasons. This is a major downgrade for British Citizens. Yet Spaniards will now be able to enter with no check and the EU says there will be a new deal on “visas and permits” — will Spaniards get new rights to residency permits?

[The Picardo obfuscation here is that British Citizens could previously visit and work in Gibraltar without any visas or any practical barriers and could receive residency as a formality if needed. Picardo stresses Britons never had a full right to enter and stay in Gibraltar, which may be technically true but was not the actual practice and decisions about residency were certainly not in the hands of the EU.]

  • Gibraltar will enter a Customs Union with the EU. This is significant as Gibraltar has never been in a Customs Union with the EU, before Brexit or ever. This will cede control of Gibraltar’s foreign trade, including its trade with the UK, which will now be governed by the EU/UK agreement.

[Here the British side just ignore the Customs Union issue and in a flash back to how they tried to sell Chequers blandly talk about a “bespoke goods and customs model”]

  • Gibraltar will sign up to EU environmental, state aid and VAT laws etc. The EU press release mentions many areas they like to control in their near abroad and no doubt will have managed to in this case. Beyond the regulation of Gibraltarian goods they wish to have control of Gibraltarian VAT — something that would end Gibraltar’s destination as a low tax shopping destination. The addition of “state aid” is significant and could also potentially affect taxation on internet gambling. Spain/EU’s insistence (as Spain would in effect guide EU policy on Gibraltar) on issues surrounding the environment and labour laws would also give it its longed for influence — Spain has after all managed to place Gibraltar’s territorial waters into an EU designated environmental zone — which Gibraltar will no doubt have to cooperate with. 

[On the VAT point there was no obfuscation on VAT, just a lie, Picado just claimed it wasn’t true (here) — which it is.]

  • Energy. Gibraltar’s electricity is powered by a LNG fuelled power station. Energy is not mentioned in the EU text but the “environment” is. This could potentially dramatically increase the cost of Gibraltarian power if they have to join the ETS system, which the “level playing field” clauses would seem to suggest. 
  • The cost. The EU press release states they have agreed the creation of an appropriate financial mechanism to promote cohesion … ” part of all of this will presumably be born by Britain or Gibraltar. How much that may be is an open question.

So, what does Gibraltar (or Britain) get out of this? Well at the cost of the above, Gibraltarians can now access Schengen without passport checks and for more than 90 days — good for those planning to emigrate, but it is reciprocal, and an open border comes with risks. Spanish workers coming for the day will now not have to deal with the EU on their return. 

Britain/UK gets nothing, their press release claims it secures the RAF airbase and “operational autonomy” in defence and sovereignty. Yet Spain has not given up its claims on the RAF airport or the rest of Gibraltar — and Britain’s military autonomy was never in question, just our Spanish NATO allies’ behaviour which is unlikely to change. The status of the airport is also now questionable — it can only operate in its location as it is a military runway. It may now be able to fly direct to the EU but at what cost in terms of regulation?

So why did the UK’s Labour party and Picardo agree this? Well, Picardo is not a national politician and presumably thinks Schengen delivers benefits for his voters, and imagines the sovereignty issues will be managed by the UK. He may perhaps not have been told or understood the details — he is after all just a local politician. However, sovereignty is a precious commodity and once it is gone it is difficult to regain. Spain will use all its new levers to extend its control over the rock. Gibraltar will now be less British and more Spanish. For British citizens landing in Gibraltar it will no longer feel special. 

Gibraltarian politicians will now have to spend time in Brussels lobbying their new legislative masters on a whole range of issues and will effectively have to talk to Spain. Or they will need to spend time lobbying the FCDO to lobby on their behalf. Gone would be any suggestion of representation in the UK Parliament, as the UK would have little residual responsibility for Gibraltar. It certainly could not join the UK.

This is a sordid affair of misinformation, obfuscation and double speak. If the deal is so good, we would have seen the actual text. As for Picado he is presumably happy with all of this and will perhaps now end up with the big job in Brussels as he has always hoped for.

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