CONFIDENTIAL
PROPOSALS FOR A SOLUTION OF THE GIBRALTAR QUESTION
THE MAIN SOLUTION
A
1. There should be a formal and titular transfer of sover-
eignty over Gibraltar to Spain, but with retention of the
status quo in practice, by means of a lease of Gibraltar to
Britain. The lease would be entrenched and legally watertight
so that the transfer of sovereignty did not diminish the security
of the British presence, eg by providing for the automatic
reversion of sovereignty if the lease were infringed by Spain.
The lease, granting Britain full rights of administration, as
well as a military base, would be automatically and perpetually
renewable, unless the Gibraltarians opted otherwise (ie in a
periodically recurrent referendum). Article X of the Treaty
of Utrecht would be abrogated.
2.
The above would seem to correspond in effect to the concept
of "token sovereignty" which was floated (but without particulars)
by the Spanish Ambassador in London in 1971. In other words,
Spain's case would be conceded de jure, while Britain's needs
were met de facto.
THE ISTHMUS
3.
A solution to the problem of the Rock would pre-suppose
a solution to the problem of the Isthmus, where our claim is
differently based and possibly more open to dispute. This
would be on parallel lines. It would involve the abandonment
of British sovereignty over the "British Neutral Ground"
together with its lease by Spain to Britain, retaining existing
British facilities.
OTHER INGREDIENTS FOR A SOLUTION
4. There are a number of other measures which have, in the
CONFIDENTIAL
/past,