Select Committee on Foreign Affairs Appendices to the Minutes of Evidence


APPENDIX 3

Memorandum submitted by Foreign and Commonwealth Office

GIBRALTAR

1.  By letter dated 1 March 2000, the Clerk of the Foreign Affairs Committee sought a memorandum on developments in Gibraltar before the debate in Westminster Hall on the Committee's report on Gibraltar (Foreign Affairs Committee, Fourth Report; Session 1998-99; HC 366). This memorandum updates the Committee on certain questions covered in the Government's response (Cm 4470) and other significant developments in Gibraltar.

APPOINTMENT OF NEW GOVERNOR

  2.  The previous Governor of Gibraltar, the Rt Hon Sir Richard Luce DL, left Gibraltar on 20 March. His successor, David Durie CMG, took up office on 5 April.

ELECTIONS IN GIBRALTAR

  3.  Elections were held in Gibraltar on 10 February. The Gibraltar Social Democrats, under the leadership of The Hon Peter Caruana QC, were returned to office with 8 seats in the House of Assembly. The opposition alliance of the Gibraltar Socialist Labour Party and the Gibraltar Liberal Party took 7 seats. Peter Caruana was duly re-appointed as Chief Minister.

  The Hon Joe Bossano remains Leader of the Opposition. Keith Vaz, Minister for Europe, visited Gibraltar on 18/19 May.

ELECTIONS IN SPAIN

  4.  Elections have also been held in Spain. In March, Jose Maria Aznar and his "Partido Popular" were returned to power with an overall majority. Sr Aznar has appointed Sr Josep Pique, previously the Industry Minister and Government spokesman, as successor to Sr Abel Matutes as Foreign Minister. The Foreign Secretary has invited Sr Pique to visit London. Keith Vaz will visit Madrid on 24/25 May.

EU/GIBRALTAR

  5.  The Government have continued to advance Gibraltar's interests within the European Union. The Foreign Secretary announced on 19 April (Hansard Column 499W-500W) that, following extensive consultation with the Government of Gibraltar and with their support, and with the encouragement of the Government's European partners, the United Kingdom had successfully concluded discussions with Spain to overcome difficulties which had arisen on a number of issues within the European Union concerning Gibraltar. The text of the Foreign Secretary's announcement is attached to the memorandum.[1]

  6.  As a result:

    —  Arrangements have been established whereby formal communications and notification of decisions between Gibraltar authorities and their counterparts in other Member States under EU legislation will be conveyed through a Unit established in the Foreign & Commonwealth Office (known as "postboxing"). These arrangements mean that important measures for the development of the single market and in the Justice and Home Affairs field will be unblocked, and similar blockages over the competent authority issue prevented in future. Introduction of these arrangements will enable Gibraltar to derive immediate benefits in the development of its financial services sector.

    —  The outstanding issues relating to the participation of Gibraltar in the Schengen system have now been resolved. The Council Decision approving the United Kingdom's application to participate in some of the provisions of the Schengen acquis (now incorporated in the EU Treaties) is expected to be adopted at the Justice and Home Affairs Council on 29-30 May. Gibraltar will participate in all the provisions in which the UK participates (except the Schengen Information System and the provisions on cross-border surveillance). The Home Secretary aims to sign the police co-operation arrangements with his Spanish counterpart in the margins of the same Council.

    —  Reformatted Gibraltar-issued identity cards, associating the card with the UK as the Member State responsible for Gibraltar, will be recognised as valid travel documents throughout the EU.

  7.  The Governments welcome the outcome of these discussions which represents a good result for the United Kingdom, Gibraltar and all EU partners. The outcome has also been welcomed by the Government of Gibraltar. The Government will work hard to ensure that the arrangements are implemented smoothly by all sides.

GIBRALTAR'S PARTICIPATION IN JUSTICE AND HOME AFFAIRS

Proposals under Title IV TEC

8.  Since the previous update (FCO/FAC/004-00) to the Committee, there have been a number of proposals under Title IV TEC. The UK has opted in to the following:

    —  Proposal for a Council Decision creating a European Refugee Fund.

  9.  The Scrutiny Committees have been notified of other proposals for measures under Title IV. The Government is currently considering whether to exercise its opt in to these proposals. Under Article 299(4) TEC measures under Title IV apply to Gibraltar.

Proposals under Title VI TEU

  10.  Since the previous update (FCO/FAC/004-00) the Government have submitted three proposals for measures under Title VI TEU for parliamentary scrutiny. Unlike first pillar measures, the territorial scope of measures under Title VI TEU is not governed by Article 299(4) TEC. In the absence of a territorial application clause, the territorial scope of Title VI measures must be determined on a case by case basis. The Government of Gibraltar are therefore consulted on the application to Gibraltar of any Title VI proposal. It has been agreed that the Mutual Legal Assistance Convention, the Framework Decision on Increasing Protection by Penal Sanctions against Counterfeiting in connection with the introduction of the Euro, the Framework Decision on Combating Fraud and Counterfeiting of Non Cash Means of Payment, and the Council Decision on combating Child Pornography on the Internet should extend to Gibraltar and provisions have been included in the draft texts to that effect.

  11.  The following paragraphs cover other issues in which the Committee have expressed interest, and other significant developments.

Border delays

  12.  Unwarranted delays at the border between Gibraltar and Spain continue, though waiting times for cars have fallen slightly since the Government's last report to the Committee (Cm4470). The Government remain in close touch with the Commission on the issue, and continue to press their concerns on Spain. Commissioner Vitorino has assured Mr Vaz that the issue is under active consideration by the Commission.

Spanish allegations of wrong-doing

  13.  There has been little specific criticism of Gibraltar, or allegations of wrong-doing, by the Spanish Government since the Government's last report (Cm4470), although general and unsubstantiated comments occur from time to time.

Driving Licences and passports

  14.  There has been no systematic refusal by Spain to recognise Gibraltar driving licences since the Government's last report (FCO/FAC/004-00). Following an incident on 4 April 2000, when a Gibraltar resident was stopped and fined by the Spanish police, apparently for using a Gibraltar-issued driving licence, we reiterated to the Spanish authorities our view, confirmed to us by the European Commission, that Spain cannot refuse to recognise valid Gibraltar-issued driving licences.

  15.  As stated in the Government's response to the Committee's report, our position remains that Gibraltar-issued passports conform with the relevant EU provisions. The Government are not aware of any recent incidents involving Gibraltar-issued passports.

Telephone operations

  16.  The Government maintain a close interest in the Gibraltar telephone operations case which is currently before the Commission. We have impressed on the Commission the need to resolve the issue as quickly as possible, given the acute shortage of telephone numbers in Gibraltar. We are also in close contact with the Government of Gibraltar.

European Parliamentary vote

  17.  The Government are determined to secure the enfranchisement of Gibraltar in European Parliamentary elections and continue to spare no effort, in Brussels and in the Council of Europe in Strasbourg, to secure the necessary consensus among our EU Partners.

NATO Restrictions

  18.  Progress on the restrictions applying to Gibraltar in the NATO context was achieved recently when, for the first time, Spanish and Gibraltar-based military units actively cooperated during a major NATO exercise. We shall continue to work towards the lifting of all remaining restrictions and the development of a relationship more appropriate as between two NATO allies.

Constitutional reform

  19.  A Select Committee of the Gibraltar House of Assembly has been set up to consider issues related to possible reform of the constitution. The Government remain willing to listen to any ideas which are realistic and compatible with international obligations, which include the Treaty of Utrecht.

Gibraltar Airport

  20.  We continue to see potential benefit to the people of Gibraltar and the neighbouring regions of Spain in agreement on arrangements for the development of Gibraltar airport, and will persist in trying to achieve such agreement.

Financial Services

  21.  The Government continue to support Gibraltar's efforts to build up a successful and well regulated financial services sector. The arrangements recently established in respect of Gibraltar's competent authorities will enable Gibraltar-based banking and insurance institutions to provide services throughout the EU.


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