Spain digs in on Gibraltar before Brexit summit

BRUSSELS/HAVANA,  (Reuters) – Spanish reservations over Gibraltar yesterday prevented the European Union clearing the last hurdle before the bloc signs off its Brexit deal with Britain, with Prime Minister Pedro Sanchez saying a summit tomorrow could be called off.

With four months left until Britain leaves the EU, the divorce treaty and an accompanying political declaration are due to be rubber-stamped in Brussels by British Prime Minister Theresa May and the other 27 EU leaders.

But Sanchez said on Friday evening he had yet to receive assurances that any future decisions on Gibraltar, a British overseas territory on Spain’s coast that Spain claims as its own, would be decided in direct talks with Madrid.

“The guarantees are still not enough and Spain maintains its veto to Brexit. If there is a deal, then it will be lifted,” he said during a trip to Cuba. “If there is no deal … the European Council will most likely not take place.”

Spanish, British and Commission negotiators were still looking for a deal on Friday evening.

May will pick up the baton on Saturday evening when she meets in Brussels with Jean-Claude Juncker, head of the EU’s executive Commission, and European Council President Donald Tusk, who will chair the summit.

Spain has asked for changes to both the draft withdrawal treaty and the accompanying declaration on future ties.

At Sunday’s summit, the EU leaders would expect to endorse the treaty and approve the declaration by consensus, which means Spain in effect has the power to hold up the process.

May’s spokeswoman said London would work with the Spanish government on Gibraltar.