Tensions over Gibraltar escalated yesterday when the British territory’s chief minister accused Spain of “sabre-rattling” and behaving like North Korea after Madrid floated the idea of a new border crossing fee and airspace controls.

The European Union’s high court today rejected Spanish complaints that electoral laws in Gibraltar, which allow some non-EU citizens to vote in European elections, violated EU law.

Spain’s main opposition party reacted angrily today to the announcement that Gibraltarians have gained an equal voice with Britain and Spain in discussions on their future.

Gibraltarians will tomorrow vote resoundingly against a British-Spanish proposal to share sovereignty over the colony, Chief Minister Peter Caruana said today.

Gibraltar's government is to hold a referendum on British proposals for shared sovereignty with Spain over the colony.