Fears of a Gibraltar 'sell-out' increase

Fears about a British "sell-out" over Gibraltar were raised sharply today after it was suggested that the Government is ready to give Spain a foothold in the military base on the Rock.

The base has until now been one of the "red-line" issues which ministers have said they will refuse to include in the negotiations with Spain over joint sovereignty.

The pledge was reaffirmed only two weeks ago by Foreign Secretary Jack Straw in the Commons, when he told MPs: "As for the British military facilities, we have made it clear that our current arrangements should continue." Yesterday, however, Britain's ambassador to Spain, Peter Torry, said that part of any deal struck would be "joint use" of the base, long seen by Britain as a vital strategic asset.

In another move which appeared to torpedo the Government's public position, Mr Torry suggested that a deal, if concluded, could be no more than a phase, with a further handover of power eventually to follow.

Speaking on Spanish radio, he said a deal would not automatically pave the way for a full Spanish takeover and went on: "Joint sovereignty must be durable."