Spain has signalled that it will not accept any deals brokered between the EU and the UK which grant Gibraltar the same rights as UK mainland airports, reports the Financial Times. The stance may complicate Britain's aviation negotiations with the EU.

Spain refuses to acknowledge the UK's de-facto right to the land where Gibraltar airport is situated, claiming that it is occupied illegaly. "A deal that is applicable to the airport of Gibraltar would imply recognition of the legal right of the UK to the territory," an unnamed Spanish diplomat is reported as saying.

The London-Madrid dispute has frequently held up agreements between European Union states, with Spain insisting that Gibraltar should be excluded from any EU aviation legislation. The UK maintains that there is no legal basis to do so.

British Prime Minister Theresa May has insisted on the UK's exit from Europe's single market, but it remains to be seen if that also means the European Common Aviation Area. The UK faces either accepting EU aviation laws and guidelines, or negotiating bilateral air service or open skies agreements; these latter two having the potential to curb Britain's low cost carriers if 7th and 9th Freedom traffic rights are lost.

Airlines that operate from Gibraltar are Monarch Airlines (1968) (London Luton), easyJet (London Luton), Royal Air Maroc (AT, Casablanca Mohamed V), and British Airways (BA, London Heathrow) on flights to to Birmingham, GB, Bristol International, London Gatwick, London Heathrow, London Luton, and Manchester International, in the UK, and Casablanca Mohamed V and Tangiers in Morocco.