Starting July 15, Gibraltar will eliminate its 118-year-old border controls with Spain, allowing for free movement between the two regions. This change is part of a post-Brexit agreement aimed at improving economic ties and easing travel for residents and businesses. The removal of the border is expected to boost local economies, particularly in La Línea de la Concepción, which relies heavily on commerce with Gibraltar.
The new arrangement aligns Gibraltar with the EU customs union and Schengen zone, requiring passport checks for travelers from non-Schengen countries. While this is anticipated to increase visitor numbers and business activity in Gibraltar, it also introduces new regulatory and tax requirements that could impact competitiveness for local businesses.