EU struggles to agree on Gibraltar

European Union negotiators met yesterday to try to clear the last hurdle before Sunday's summit to endorse the Brexit deal, but Spain's eleventh-hour objection over Gibraltar means the final text could not be ready until the last minute.

Four months before Britain leaves the EU, the legal divorce treaty and an accompanying political declaration on future ties are ready to be rubber-stamped by British Prime Minister Theresa May and the leaders of the 27 countries remaining in the EU after Brexit.

Spain has asked for changes to the withdrawal treaty and the declaration on a new EU-UK relationship to make clear any decisions about the disputed British overseas territory of Gibraltar would only be taken in direct talks with Madrid.

"We've worked very hard and have in fact reached agreement with Spanish colleagues in respect of Gibraltar's role in the withdrawal process," Gibraltar's Chief Minister Fabian Picardo said yesterday

Spanish Prime Minister Pedro Sanchez said on Thursday Spain would be against the draft deal on Britain's exit from the European Union if there are no changes.

Under EU rules, the withdrawal treaty is adopted by a majority and not unanimity, so a single state cannot block it. However, EU leaders want unity on this most politically sensitive matter.

The Brexit package faces vehement opposition in the British parliament, which must vote in favour for it to take effect. Otherwise Britain risks leaving the bloc on March 29, 2019, without an agreement to mitigate economic disruption.