Question to the Foreign, Commonwealth & Development Office:

To ask His Majesty's Government, with regard to the UK-EU Agreement in Respect of Gibraltar: Joint statement on 11 June providing for "a future customs union between the EU and Gibraltar", whether Gibraltar will be required to align with the EU's external trade policy; and if so, what will be the legal framework for UK-Gibraltar trade.

Trade between the UK and Gibraltar is almost exclusively in services. Trade in services is not in scope of this agreement so the legal framework for UK-Gibraltar trade in this respect is unchanged. The UK and Gibraltar remain separate customs jurisdictions, and goods trade between the two will continue to be governed by the respective arrangements of both. Duties will apply to UK goods moving to Gibraltar as they do today and vice versa. In order to facilitate the removal of customs checks at the land border, Gibraltar has decided to align some aspects of its import regime with that of the European Union. It will not be required to align with all aspects of European Union external trade policy and can still be part of UK free trade agreements to the same extent Gibraltar has been previously, namely relevant services chapters.