THE BUDGET 2024 – DEPUTY CHIEF MINISTER’S ADDRESS - 474/2024

INTRODUCTION

Madam Speaker,

I have now been elected as a Member of this House for a period which has spanned 26 budgets;

thirteen as a Member of the Opposition, followed by

thirteen more as a Member of the Government.

In February, it was therefore an honour to mark twenty-five consecutive years as a Member of this House.

A quarter of a century.

This provides a unique sense of context and of perspective.

And after what we heard earlier from the Leader of the Opposition I feel bound to appeal for moderation and respect.

Respect as Members of this House.

Respect for the outcome of the last general election.

And respect for the electorate as a whole.

For it is never wise to belittle or undermine the democratic process.

Or indeed to behave as if we were still in the general election campaign.

So I would urge Honourable Members opposite to take care how they pitch it.

This should be a contest of ideas.

Of course constructive criticism is healthy in any democracy.

And in our adversarial system, it falls upon them to hold the Government to account.

But there are ways of doing this.

I am sure my Honourable Friend the Chief Minister will have more to say at the end of the debate.

DEPARTMENTAL BUDGET

Madam Speaker,

the expenditure of the Office of the Deputy Chief Minister for the financial year 2023-2024 at Head 15 has come in at £2.4 million.

That includes Gibraltar House in London and Gibraltar House in Brussels which together accounted for over half of the budget figure.

So the overall expenditure is less than the estimate of £ 2.8 million which was approved by this Parliament last year.

It therefore represents a saving of some £ 400,000.

As part of that, Gibraltar House in London and Gibraltar House in Brussels too have reported savings of £ 80,000 and £ 90,000 respectively.

This Parliament is now being asked to approve £ 2,355,000 for the new financial year.

That comes to £ 26,000 less than the forecast outturn for the year which closed at the end of March.

TREATY: NEGOTIATION

Madam Speaker, these overall Estimates come in the context of the uncertainty generated as to whether or not Gibraltar will end up with a treaty to govern our future relationship with the European Union.

That situation was thrust upon us by the outcome of the 2016 referendum.

A referendum we did not ask for,

which led to consequences that we do not support.

But in Government, Madam Speaker,

you have to get on with it.

You need to take the good with the bad.

And that is exactly what this Government have done.

Today, 2016 may seem an eternity ago.

And I am sure many would have preferred the security afforded by a new treaty much sooner.

But, as the House knows, the process was impacted by a series of cumulative external delays.

Firstly, it took the UK nine months to trigger Article 50.

Then almost the entirety of 2019 was taken up with problems in the UK Parliament over the ratification of the Withdrawal Agreement.

After the 2020 Agreement, it took the EU ten months to adopt their mandate in October 2021.

The Spanish general election last year delayed the negotiations by a further five months.

Then the European elections.

And now, at the final hurdle, the UK has itself embarked on its own electoral process which will be determined later this week.

The cumulative effect of all this alone is some 36 months.

Three years, Madam Speaker.

And this does not take into account the impact of the pandemic and the Russian invasion of Ukraine.

Both of which understandably diverted attention and reduced bandwidth.

But Madam Speaker, in spite of all this, and whatever may happen, the Government has delivered at every stage of the Brexit process.

We protected the bilateral relationship with the United Kingdom.

We secured a series of bridging measures to cushion the impact of a hard Brexit.

We negotiated our inclusion in the Withdrawal Agreement to provide for an orderly departure.

And we concluded a political agreement,

which set out the route map for a future relationship treaty.

Of course, some of this reflects the actual complexity of the negotiation.

Its uniqueness.

Its multi-faceted content.

Its well-known sensitivity in a number of areas.

And the need to hold the line and defend our well-known traditional positions.

Because the House knows that there are some lines we are simply not prepared to cross.

Madam Speaker, if we had crossed those lines and said "yes" to everything then we would have had a treaty years ago.

But we have not done that.

And we are not going to do that.

And now, 19 rounds and two political summits later, we are closer but not quite there yet.

It is relevant here to highlight the involvement of Gibraltar, its Chief Minister and its Government at every stage of this process.

That was reflected most clearly in the two quadrilateral meetings at the Berlaymont, the home of the European Commission, in Brussels.

There were clearly four delegations, four delegation meeting rooms and four sides at the top table.

Indeed, these negotiations have been known for their flexible and variable geometry from the very outset.

We have made it clear that meetings have taken place between different parties in different places over course of the process.

The United Kingdom and the European Union, as the intended signatories of any treaty.

Gibraltar and Spain as the two most impacted sides.

TREATY: EUROPEAN UNION PROCESSES

Madam Speaker,

EU processes too may delay the final steps of a potential treaty.

The recent elections to the European Parliament have set a chain of events in motion.

This will lead to the confirmation of a new College of Commissioners in the autumn.

The new political groups are expected to be constituted by the middle of this month.

A formally recognised group must consist of at least 23 MEPs from at least 7 Member States.

The largest will again be the European People's Party, which will include Spanish MEPs from the Partido Popular.

Honourable Members will know that the horse-trading has already started.

The procedure is that the European Council will propose a candidate for Commission President to the European Parliament.

This will be outgoing President Von der Leyen.

The investiture session is expected after the summer.

The candidate for Commission President will need 361 votes in the European Parliament in order to secure ratification.

The calendar suggests that the confirmation hearings for designate Commissioners will take place in October or November.

Absent this top political layer,

technical work on a Gibraltar treaty has continued.

But it is obvious that executive decisions can only be taken by the incoming Commission and not by the outgoing one.

The negotiations so far have been conducted by the Secretariat-General, which has reported to its Executive Vice President Maros Sefcovic.

Sefcovic has served as the Commissioner appointed by Slovakia since 2009.

As part of the EU ratification process, the newly elected European Parliament will have to consent to any Gibraltar treaty.

Two of its Committees will be responsible for driving the consent procedure.

These are the Committee on International Trade (INTA) and the Committee on Foreign Affairs (AFET).

The membership of those reconstituted Committees will be particularly important.

This is because the first discussions and votes will take place there.

Later the debate will move to the full plenary, when the Gibraltar reports of those two Committees will be discussed and voted upon.

Clearly, Madam Speaker, the overall composition of the full European Parliament itself will be crucial too.

720 MEPs representing the 27 Member States were elected in June.

As the House knows, there has been a swing to the right in many European countries.

And the distribution of MEPs among the different political groups will be particularly relevant.

The advice to the Government is that the EU calendar could have an impact on the timing of a Gibraltar treaty.

Both on the conclusion of it, and then on its subsequent ratification.

And needless to say, while there is no agreed outcome, the possibility remains of no treaty at all.

NO NEGOTIATED OUTCOME (NNO)

Honourable Members will be aware of the work to prepare for a No Negotiated Outcome, also known as NNO.

No doubt, Gibraltar is better prepared today than we were in 2017.

But the Government has made it clear on countless occasions, that it is impossible to mitigate all the consequences of no treaty.

This is particularly so in areas which are outside our control and outside the control of the United Kingdom.

The truth is that without a treaty, life outside the European Union will feel very different.

Gibraltar will be subject to processes and procedures which will be more cumbersome, more bureaucratic and more time-consuming.

We have already witnessed some of these in play already.

So no treaty does not mean that we can simply continue as we are.

That is not possible.

Let me be clear.

If there is no treaty, the status quo is not an option.

NNO - WORK WITH UK

Madam Speaker,

the Government has taken this NNO workstream forward under the Civil Contingencies structure through the Brexit Strategic Group which I chair.

That Group met last week.

The interface with the United Kingdom is via the NNO Board.

I have co-chaired this over the years together with the serving UK Minister with responsibility for Gibraltar.

This Board also met last week.

It last met at ministerial level in May with then UK Overseas Territories Minister David Rutley MP co-chairing.

Members of the Gibraltar Cabinet were briefed on NNO on 19 June.

I want to thank the many UK Government Ministers and officials who have worked with Gibraltar on contingency planning over the years.

I am also very grateful to those who remain involved in this process.

Madam Speaker, part of the United Kingdom contribution has entailed co-funding a number of NNO projects in Gibraltar.

This has included the waste equipment plant, a shredder, compactor, baler and wrapper.

It has also covered the Algeciras ferry operation and the construction of the ferry ramp which preceded this.

The upgrades to the container port in order to increase the resilience of Gibraltar were also part of this work-stream.

The UK supported a hotel assistance scheme to accommodate emergency health workers who live in Spain.

There are also plans to increase fluidity at the land border through the use of e-gates in the event of no treaty.

NNO - PRIVATE SECTOR

The Government has also engaged directly with the private sector in its contingency planning.

A number of briefings have been delivered to the Chamber of Commerce, the Federation of Small Businesses, the Gibraltar Betting and Gaming Association and the Finance Centre Council.

The Government is grateful that this was acknowledged at the recent GFSB annual dinner.

In November, those representative bodies were invited to participate in an NNO Table-Top Exercise.

This was organised by the Civil Contingency Department.

It also included the Foreign and Commonwealth Office and the Ministry of Defence.

This year, those same organisations have been invited to hold their own exercise for their membership, with the assistance of the Government.

The GFSB did so on 10 April and the GBGA on 15 April.

There have been six table-top exercises so far.

These have focused on the consequences of no treaty on day one and again on day thirty of no treaty.

It is obvious that different sectors will be impacted by this in different ways.

One of the most significant issues will be the access of frontier workers through the border.

Another will be the movement of goods, along with wider issues of transport and road haulage.

Many of these issues have been highlighted in two booklets and some fifty Technical Notices which have been published so far.

These remain available on the Brexit section of the Government website.

It is important to make the point once again that no treaty does not equate to the current status quo.

Gibraltar cannot remain as it is today.

Instead, we would need to transition to the consequences of a new reality of life outside the European Union.

BRIDGING MEASURES

So Madam Speaker, the consequences of NNO must feature in any analysis of a potential treaty.

Gibraltar has so far been shielded from the full impact of Brexit.

This has been cushioned by a series of voluntary bridging measures unilaterally extended by Spain.

They have covered areas like commercial road transport, reciprocal healthcare and ambulances.

Some of those original measures have now lapsed.

However, even that gradual disapplication has been helpful in providing time for Gibraltar to adapt.

The most important of those measures continues to be the suspension of the Schengen Border Code.

In practice this has meant an exemption from the stamping of passports.

This applied, when originally introduced, to residents of Gibraltar in general.

It was subsequently narrowed to benefit resident red card holders only, and made subject to geographical constraints.

But there is no doubt that an abrupt exit from the European Union, absent all those temporary measures, would have not been easy.

Equally, Gibraltar will be subject to the full impact of Brexit in the event of no treaty.

My colleague the Chief Minister has already indicated that reciprocal action at the border will be the policy of the Government in this area.

In addition to this matter, the House should note that the new EU Entry Exit System (EES) is expected to become operational in the autumn.

This will replace physical stamps on passports with electronic stamps.

It is a Schengen-wide measure which will come into force at every entry point.

However, it will be a requirement to register first in order to use the system.

This will involve travelers going into a booth and recording their biometrics, including a facial scan and fingerprints.

That registration will take time.

It is expected to generate considerable delays.

There are serious concerns in Dover and at St Pancras too.

The Eurostar terminal there is being expanded with booths and electronic gates in order to make provision to cope with the new system.

Here in Gibraltar we are no strangers to border queues and to delays.

Although the theory is that after first registration, crossing an external border of Schengen should become a smoother experience for the traveler.

The EES will come hand in hand with the EU's Travel Information and Authorisation System ETIAS, although they are two separate initiatives.

This applies to visa-exempt nationals, including British Citizens.

The principle is similar to the ESTA pre-clearance regime for travel to the United States.

The fee is expected to be seven euros and an ETIAS will last for three years.

Applicants under the age of 18 or over the age of 70 will not have to pay the fee.

This system is expected to enter into force in 2025.

The point needs to be made too that the rollout of both the EES and ETIAS have been marked by delay after delay.

But the initiatives spell out the direction of travel for those outside the EU.

In the event of no negotiated outcome, most people in Gibraltar would be subject to both the EES and the ETIAS regime.

So things will change.

It is worth noting though that in July 2021, the published draft negotiating mandate of the European Commission for a Gibraltar treaty proposed the exemption of Gibraltar residents from both measures.

Madam Speaker, I want to thank the many officials in Gibraltar who have been involved in NNO work for many years now.

In particular, I want to thank the Director of Civil Contingencies Ivor Lopez, my Principal Secretary Ernest Francis, the Chief Scientist at the Department of the Environment Liesl Mesilio and the Director of Gibraltar House in Brussels Daniel D'Amato.

GIBRALTAR HOUSE - BRUSSELS

I now turn to report precisely on our office in Brussels.

It seems like yesterday that the government opened the new, expanded premises at 17 Square Ambiorix (Amberix).

But it in fact it opened its doors almost a decade ago - nine years this year.

Those nine years have coincided with the most disruptive time ever seen in Gibraltar's relationship with the European Union.

However, the UK's decision to leave the EU, also presented us with the opportunity to work together with both like never before.

The Brussels office has supported and accompanied the government throughout the transition of our relationship with the EU.

This has evolved from membership to withdrawal, to now seeking to establish a new, future relationship with it.

Gibraltar House in Brussels continues to be a source of expertise and support as we defend our interests in the heart of the EU.

It is also a platform from which to engage and network with the EU institutions, and with the wider diplomatic corps which gravitates around them.

Our assets there have been, and remain, Gibraltar's very own eyes and ears in Brussels.

BRUSSELS - TREATY NEGOTIATIONS

Madam Speaker, the role of Gibraltar House in the treaty negotiation continues to be vital and constant throughout.

Indeed, it could be argued that its contribution over the last twelve months has been the most important yet.

The intensification of negotiations has led to increased engagement with Brussels.

This has taken the form of formal meetings, official rounds, technical sessions and informal contact.

The office has supported all this.

Director Daniel D'Amato has been present in formal rounds alongside the Attorney General, Michael Llamas.

Madam Speaker, the office was also key in the organisation and the logistics behind the historic Ministerial meeting of 12 April.

This was attended by the Chief Minister and I alongside the Foreign Secretary Lord Cameron, with the Spanish Foreign Minister Jose Manuel Albares, and Commission Vice President Maros Sefcovic.

Gibraltar House was also involved in the second high-level quadrilateral meeting which took place in Brussels on Thursday 16 May.

The actual location of the office itself is also helpful.

It lies close to the Commission headquarters and near to the UK Mission to the EU.

This makes it the ideal base for ministerial visits, and visits from government officials.

The Government's home away from home continues, in many ways, to prove to be an asset.

This we knew at the time we acquired it, although admittedly we had no idea then of the magnitude of the challenges which were to come.

VISITS TO BRUSSELS

Madam Speaker, a few words now on the topic of visits to Brussels.

I had the opportunity to visit myself on official business in January, April and May of this year.

The main purpose behind the January visit was to participate in the European Committee of the Regions - UK Contact Group.

This is a forum I have attended faithfully since its inception in 2019.

It provides the opportunity for Gibraltar, together with the nations of the UK family, to conduct direct dialogue with the EU institutions.

For a while it was the only forum of interaction between politicians from both sides of the channel until the UK-EU Parliamentary Partnership Assembly came into being.

Madam Speaker, I have used the opportunity afforded by those meetings to brief stakeholders on the challenges that Brexit poses for Gibraltar.

It is also important to lay out our objectives in the negotiations.

On this last occasion, I stressed the government's commitment to reaching a negotiated outcome which would allow for the fluid movement of persons and goods.

This message was warmly received.

The institution represents the European regions, and the value of regional cooperation is something that the Committee of the Regions is very much alive to.

However, I also used my intervention to warn that the objective of shared prosperity could be threatened by any attempt to cross red lines.

That message too was received and understood.

The feedback from participants of the Contact Group has been one of support and encouragement for a negotiated outcome which will benefit all sides.

A further word now on the subject of negotiated outcomes.

I used my visit to pay a courtesy call on the Ambassadors of San Marino and Andorra.

The two microstates, only in December 2023, concluded treaty agreements of their own with the European Commission at negotiator level.

This process took them nearly nine years.

It was illuminating and encouraging to hear how two territories of a similar size, but albeit very different dynamics to Gibraltar, have managed to conclude an agreement with the European Union.

It was also informative to hear how each jurisdiction was going about their own processes for respective implementation of the agreed texts and the further work which will need to go into that.

I am therefore very pleased with the relationship which the team have built with them, and others, as a result of our activities in Brussels.

During my visit, I further took the opportunity to brief key senior MEPs at the European Parliament who, with the help of Gibraltar House, have accrued a deep knowledge and interest in Gibraltar matters.

Meeting with MEPs who understand our issues is always welcome.

But many are not on this wavelength.

Honourable Members will have seen how there are elements within the European Parliament who have been profoundly unhelpful.

Indeed, some MEPs, are and have been, openly hostile to Gibraltar.

The House will rejoice that one of them, former Spanish Foreign Minister Jose Manuel Garcia Margallo, has now retired as an MEP.

But many others remain.

BRUSSELS - ENGAGEMENT WITH EUROPEAN PARLIAMENT

Madam Speaker, I wish to expand further on the subject of Gibraltar House's work with the European Parliament.

A considerable part of this work-stream takes place behind the scenes.

The European Parliament as an institution is one that is growing in influence and importance within the European Union and internationally.

It has always been the mission of Gibraltar House in Brussels to understand the European Parliament and, conversely, to have the Parliament better understand Gibraltar.

This was part of our well-worn pre-Brexit philosophy of taking Gibraltar to Europe and bringing Europe to Gibraltar.

So the office holds meetings with MEPs, MEP staff and other Parliament officials in order to educate them on all issues affecting Gibraltar.

We use facts to counter misinformation.

Over the years, Gibraltar House has been able to positively communicate matters related to Gibraltar to the European Parliament.

There are many good stories to tell in that regard.

Indeed, some of those stories we cannot tell here for obvious reasons.

But unfortunately, Madam Speaker, sometimes the outcome is not so rosy.

There are certain individuals and political groups in the European Parliament who have held and continue to hold an openly anti-Gibraltar agenda.

The blunt truth is that since the loss of the 73 UK MEPs, the political balance in the Parliament on support for Gibraltar has tilted towards Spain.

And the Spanish delegations dominate the different political groupings.

It was always clear that this loss of UK influence would adversely affect Gibraltar.

And we have seen this play out in a number of situations which have arisen over the last couple of years.

Most recently, the Government noted with disappointment, the Parliament's decision to oppose the delisting of Gibraltar from the EU's AML/CFT grey list.

That decision was engineered and taken without technical reasoning.

It was loaded with the twisted political goals of anti-Gibraltar elements within the European Parliament, particularly in the Spanish right wing.

But at the same time, Madam Speaker, it is important to note that other hostile initiatives have not seen the light of day.

In such instances, years of lobbying and networking have proven useful.

The modus operandi has been the same.

Intelligence was gathered rapidly.

Contacts were notified quickly.

Our team in Gibraltar House best responded to the threat.

That response has taken different forms.

And it has included, where necessary, face-to-face representations in Brussels, in Strasbourg or elsewhere.

Gibraltar's interests have benefited on several occasions from this discreet work behind the scenes.

Honourable Members can rest assured that when the time comes, our team in Brussels will always be ready to act.

And they will act in order to ensure that the new European Parliament is kept fully informed about Gibraltar's position.

BRUSSELS OFFICE - FUTURE

Madam Speaker, Gibraltar House will have its work cut out for the next year come what may.

Firstly, it will have to adapt to the new political panorama in Brussels, given that all the EU institutions will have renewed leadership.

Secondly, it will continue to support the Government in its mission to achieve a safe and secure treaty for Gibraltar.

And thirdly, whatever the outcome of the negotiations, Gibraltar House will assist with the implementation of a newly agreed treaty or, in the case of a non-negotiated outcome, continue to fly the flag for Gibraltar in the heart of the European Union.

I take this opportunity to thank Director Daniel D'Amato and the team in Brussels for their invaluable support.

GIBRALTAR HOUSE - LONDON

I move on now to Gibraltar House in London.

The financial year 2023 - 2024 saw a continuation of Gibraltar's lobbying work in both Westminster and in Whitehall.

There was a pre-agreed focus to build a good working relationship with the Labour Party.

It was significant, in that context, that the then Shadow Foreign Secretary David Lammy delivered a powerful and supportive video-message for Gibraltar National Day.

This was unambiguous on our right to self-determination.

Indeed, it foreshadowed the welcome commitment repeated in Labour's general election manifesto.

And it signalled a move to solidify the strong cross party stand of respect for the right of the people of Gibraltar to determine their own future.

Madam Speaker, the Government have also worked closely with Stephen Doughty MP who served as Shadow Europe Minister with responsibility for Gibraltar in the UK Parliamentary term just ended.

The Chief Minister and I have had the opportunity to meet him both in Gibraltar and in London.

We are convinced that there is now a detailed understanding of the issues which Gibraltar faces going forward.

I would like to place on record too the hard work of our representative in the UK, Dominique Searle, in this regard.

This means that Labour is in a good place when it comes to Gibraltar.

We could not have done more.

At the same time, the Government has kept open our broad engagement on a traditional cross-party basis.

This took the form of ongoing contact with the Conservative Party, the Liberal Democrats, the Scottish National Party and the DUP.

However, the General Election in the UK will still prove to be a watershed moment for Gibraltar.

Many MPs who are friends of Gibraltar and many members of the APPG have stood down from politics.

I wish to pay tribute to a few of them today.

First and foremost, to Sir Bob Neill.

He worked tirelessly as APPG chair to keep No 10 focussed on Gibraltar issues and incessantly raised our concerns in Parliament.

Also gone are Dame Rosie Winterton,

Sir Graham Brady,

Robin Walker - a former Brexit Minister who has spoken up for Gibraltar on many occasions,

Henry Smith - a strong supporter and regular private visitor,

Trudy Harrison - Environment Minister with responsibility for OTs,

Bob Stewart, Ben Wallace,

Conor McGinn, Sir Robert Goodwill, John Cruddas, and James Heappy.

Lisa Cameron - who was highly involved in Cryptocurrency work and developed a close rapport with Gibraltar's Finance Centre.

Also, Andrew Percy - MP for Goole, a city twinned with Gibraltar, who was out on the Rock some weeks back.

There are also MPs who changed their view about Gibraltar after a working visit here, or after taking a closer look at the policies in place in a particular area.

Former Labour MP Margaret Hodge is a case in point.

At the end, she held up the Gibraltar finance centre as an example for other Overseas Territories to follow.

On behalf of the Government, I want to express our thanks to all the MPs and Peers who rally to support us when needed.

And I wish those leaving Parliament all the very best for the future.

Sir Bob Neill continued as APPG chair, and Labour MP Stephen Morgan as deputy chair, until the UK General Election was called.

At that time all APPGs dissolved.

They will be reconstituted once the new Parliament opens and they decide who their new officers are going to be.

Madam Speaker, work will continue with the new cohort of MPs who come in after 4 July.

The Government is clear that new faces will mean new friends.

LONDON - PARTY CONFERENCES

Attendance and representation at the key party conferences is an important part of the work of Gibraltar House in London.

This creates the opportunity to network with key political figures.

It ensures that Gibraltar remains in the focus of all the political parties.

The general election in Gibraltar last year to some extent disrupted the programme of attendance at the traditional UK conferences in the autumn.

The Government expects that schedule to return to normal later this year.

This means that there will be a Gibraltar Government reception and a Gibraltar stand at the main party conferences as usual.

These are the Liberal Democrat party conference in Brighton from 14 to 17 September, the Labour Party conference in Liverpool from 22 to 25 September, and the Conservative conference in Birmingham from 29 September until 2 October.

The Government also plan to attend the SNP and DUP conferences as we have done since the Brexit referendum.

This programme will be an important part of the lobbying work of Gibraltar House in the months ahead.

LONDON - SPEAKER HOYLE

Madam Speaker, it is also important to highlight the support that Gibraltar, and indeed all the OTs, have enjoyed from the Speaker Sir Lindsay Hoyle and his office.

This has included easing access for UK Representatives into the Westminster estate.

It also covered pushing for recognition of the OTs in key Commonwealth and UK national events around Parliament including ceremonial occasions.

Indeed, thanks to Mr Speaker's efforts, our flags and those of the Territories have flown in Parliament Square outside the Palace of Westminster.

Sir Lindsay has also backed general issues affecting Gibraltar, like the future of the Girl Guide movement.

Gibraltar continues to be represented at the State Opening of Parliament and at many other events to which Commonwealth High Commissioners are also invited.

LONDON - COMMONWEALTH AND OVERSEAS TERRITORIES

Gibraltar House in London has maintained direct contact with Commonwealth institutions as well as High Commissions, many of which take an interest in our affairs.

Over the years, for example, the High Commissioners of Australia, New Zealand, Canada and India have visited Gibraltar.

The High Commissioner of Malta was here last week.

I had the opportunity to meet again with Baroness Scotland, the Secretary General of the Commonwealth.

Gibraltar was represented at all the key Royal Household events including the Commonwealth Day Mass.

In November, I attended a meeting of the Joint Ministerial Council between the UK and OT Governments.

A Joint Declaration was negotiated at this meeting in London.

That document affirms the principle of equal rights and self-determination of the peoples of the British Overseas Territories as enshrined in the Charter of the United Nations.

It also sets out UK support for requests for the removal of those Territories who wish it from the UN list of Non-Self-Governing Territories.

And it re-states the enduring commitment to counter hostile sovereignty claims.

So this turned out to be a very productive meeting,

and in many respects this was a landmark document.

That meeting included a visit by delegates to Buckingham Palace to meet His Majesty the King.

It is no secret that King Charles takes a very close interest in the Overseas Territories including Gibraltar.

He was very well-informed about current issues affecting us.

Work with the other Overseas Territories is an important part of the role undertaken by Gibraltar House in London.

Meetings of UKOTA representatives take place at least twice a month.

UKOTA is the umbrella organisation for the UK Overseas Territories.

It provides a forum for interaction between us.

It also provides the opportunity to raise issues with FCDO officials tasked with matters which impact upon the OTs generally.

On our last National Day we had the pleasure of the company in Gibraltar of Overseas Territory leaders and representatives.

We continue to work together to shape the British Government's strategy towards its territories and to protect and further our interests.

Madam Speaker, last year young people from Gibraltar took part in the UK Youth Parliament and the UKOTA Youth Summit.

They were supported by my office and by Gibraltar House in London.

This year, there are plans to send young delegates to the Commonwealth Youth Parliament in New Zealand.

Meanwhile, the Commonwealth Heads of Government Meeting and associated events will take place in October in Samoa.

That will include the Youth Forum, Business Forum, Peoples' Forum and Women's Forum.

The London office also provided support for Gibraltar's participation in COP28.

Gibraltar House also keeps in regular contact with our former Governors.

They are always ready to support Gibraltar and its people in any way they can.

Last year our UK Representative Dominique Searle sadly attended funeral services for Sir John Chapple and for Lady Luce, both of whom were fondly remembered here.

I want to thank Dominique Searle and the team at Gibraltar House for their work over the last financial year.

INTERNATIONAL LOBBYING

Madam Speaker, I will now cover the Government's wider international lobbying activities.

The focus of the Government over the last financial year has been in London, Madrid, Brussels, Washington and New York.

That is a matter of public record.

I have worked on those different strands together with the Chief Minister.

It is true to say that the bulk of the time has been occupied by the considerable effort to conclude a treaty on the future relationship of Gibraltar with the European Union.

But the intensity of that work has impacted in what we could do in other areas.

All those work streams, Madam Speaker, have as their central objective the protection and promotion of Gibraltar and its people.

And it is obvious that some of those efforts are more sensitive than others.

INTERNATIONAL LOBBYING - WASHINGTON

Madam Speaker, the Government has continued to deliver the Gibraltar message to decision makers in the United States of America.

Much of this has been about putting Gibraltar on the map.

The strategic value of our location at the western end of the Mediterranean Sea has shot up considerably with the growth of instability and conflict at its eastern end.

The attacks on shipping in the Red Sea have been primarily responsible for this situation.

In a congressional meeting room a few weeks ago, I was pleased to dwell on some of those issues when briefing interested parties together with the Deputy Ambassador of the United Kingdom to the United States of America.

It is not well known that the first ever action of the US Navy in 1801 was precisely from a base here, in Gibraltar, against Barbary pirates from North Africa.

We were able to engage with eighteen Republican and Democratic Congressional offices in one and a half days in Washington.

The Government is delighted to have been able to work hand in hand, together with the United Kingdom on such matters.

The opportunity was taken too to meet with other decision makers in the US capital.

Madam Speaker, last August we welcomed to Gibraltar a delegation from the powerful Defence Appropriations Committee of the US Congress.

The group of seven congressmen, including the Chairman, and nine staffers flew directly from Andrews Air Force Base to Gibraltar.

They stayed overnight and left for Germany the next day.

Hon Members will know that this is not the first Congressional delegation to visit Gibraltar.

The Government will continue to work on such visits in the future.

This House will know that a Resolution on Gibraltar has been formally dropped annually in the US Congress for a number of years now.

That sets out the historic relationship between Gibraltar and the United States.

It touches upon our role in two World Wars.

And it highlights that Operation Torch, spearheaded by US General Dwight Eisenhower, was planned from tunnels inside the actual Rock itself.

The General later became the 34^th President of the United States.

The Resolution supports the right of the people of Gibraltar to choose their own future.

The Government welcome too the ongoing work by the Gibraltar branch of AMCHAM, the American Chamber of Commerce.

This trade aspect is an important part of the developing relationship.

In this context, I wish to thank Mr David Liston, the Gibraltar Government representative in the United States for his continued assistance and invaluable support.

Madam Speaker, the Government intends to continue with this multi-faceted effort in Washington over the financial year ahead.

INTERNATIONAL LOBBYING - NEW YORK

In the same way, we will persist with our work at the United Nations in New York.

This process is slow and will take time.

Nonetheless, it is important.

So it was a privilege to represent the Government and the Chief Minister at the last session of the Fourth Committee in October.

This came only a few days after the general election.

My colleague the Minister for Health and Care delivered the Government's address to the Committee of 24 last month.

In the coming financial year we will, as usual, argue our case before both the Committee of 24 and the Fourth Committee.

And we will continue to promote and defend our right to self-determination.

There is no other way to secure the removal of our country from the United Nations list of Non-Self-Governing Territories.

Madam Speaker, this very public workstream will also run in parallel with more discreet meetings and contacts behind the scenes, as we seek to take this matter forward.

NATIONAL ARCHIVES

Moving on from our lobbying workstreams,

the Office of the Deputy Chief Minister also oversees the Gibraltar National Archives.

I am pleased to report to the House that here is now a new Archivist in post, Mr Gerard Wood.

The Archives continue to receive enquiries for historical research and requests for information from all over the world.

Indeed, some two-thirds of overall enquiries over the last financial year were not generated locally.

Enquiries by email have doubled from what they were during the previous twelve months.

A wealth of historical content continues to be digitised and made available online.

This enhanced digital repository now holds an extensive collection of documents, images, cartography, video and oral audio histories.

The Archives are confident that as those digital holdings expand, there will be further engagement with scholars and researchers worldwide.

Madam Speaker, as the custodian of our collective past, the National Archives play a crucial role in preserving and disseminating the knowledge that they hold.

A presentation was, for example, delivered to St Joseph's Upper Primary School about the wartime evacuation of Gibraltarians.

This was followed by another one on Gibraltar during the outbreak of the Second World War.

The GNA are clear that this interaction with students will equip them with enhanced research skills that extend beyond history.

Such skills can be used in other walks of life.

The highlight of this public outreach last year was an exhibition to mark the 60^th anniversary of Gibraltar at the United Nations.

This was held at the John Mackintosh Hall.

It recalled the different appearances of the elected representatives of Gibraltar before the Committee of 24 and the Fourth Committee from 1963 until 2023.

All this work will serve to bridge the gap between past and present, ensuring that our heritage remains alive for generations to come.

CIVIL AVIATION

Moving on now to civil aviation.

Madam Speaker, the Director of Civil Aviation DCA has continued to actively encourage and promote flight safety and security in all civil aviation activities in Gibraltar.

CIVIL AVIATION - ICAO AUDIT PREPARATIONS

The International Civil Aviation Organisation ICAO audited the UK aviation safety oversight system in November 2022.

None of the Crown Dependencies or Overseas Territories were audited as part of that process.

ICAO has stated that it intends to audit one of the Crown Dependencies or Gibraltar before the end of 2025.

The Director currently maintains Compliance Checklists and Protocol Question responses for all 19 of the Annexes to the Chicago Convention against current regulations, in readiness for a possible audit.

The continued update of the compliance checklists and protocol questions will remain a high priority moving forward.

CIVIL AVIATION - SSP / NASP AIP

Madam Speaker, the DCA has continued to liaise directly with the UK DfT through the UK State Safety Board, on which Gibraltar is fully represented.

There is also engagement through the State Safety Board working group.

A key component of this work is to update the Gibraltar State Safety Programme and develop the Gibraltar National Aviation Safety Plan.

These documents combine to provide an overview on how aviation safety is managed within Gibraltar.

They also serve to drive improvement in this area.

This is in line with both UK and global objectives.

Aviation is an extremely safe form of transport.

It is precisely due to initiatives like these that existing high standards constantly improve.

CIVIL AVIATION - AUDIT PROGRAMME

The Director continues with an ongoing audit programme of activities at the Airport.

This is part of the safety and security oversight responsibilities of the office.

It is necessary to demonstrate continued compliance with stringent international civil aviation requirements.

In the past year, audits of the following areas have taken place:

• Air Traffic Control Services
• Airfield Fire and Rescue Services
• Aviation Security in the Air Terminal (on three occasions)
• Safety of Foreign Aircraft audits at the Airport
• Search and Rescue capability (conducted by H M Coastguard)

These Audits, which are undertaken by UK CAA Inspectors, have provided the Director with the confidence that international standards are being met and that action plans are put in place.

All organisations involved should be thanked for their open approach to such audits and for their responsiveness in taking matters forward.

CIVIL AVIATION - DRONES

Madam Speaker, drone activity has reduced slightly in the last year.

However, there remain a significant number of local commercial and recreational operators registered with the Director of Civil Aviation.

In addition, there is a steady stream of film companies coming to Gibraltar wishing to incorporate drones into their filming activity.

The support of stakeholders such as the Department of the Environment, the Ministry of Defence and the Port in helping to make these flights possible is greatly appreciated by the Department.

The last year has also seen a significant increase in the number of Spanish drone operators liaising with the DCA and Air Traffic Control.

The reason for this is to ensure that their flights, which take place outside Gibraltar airspace but inside the Bay, are properly coordinated with flights to and from the Airport.

CIVIL AVIATION - AVIATION SAFEGUARDING

The Director and the Airport Authorities are consultees to the Development and Planning Commission and advise on the impact of new construction on aircraft operations.

Developers are now much more keenly aware of the limitations imposed when constructing developments close to the runway.

Indeed, it is welcome that the designs which are being put forward tend to be compliant.

Moreover, the inclusion of wind and aeronautical studies, to prove the compliance of their proposed developments, has now become the accepted norm.

This provides reassurance to the Director and to the Airport Authorities.

The DCA therefore works closely with the Town Planning Department.

This cooperation has ensured that aviation safety advice is always taken on board and heeded at meetings of the Development and Planning Commission.

CIVIL AVIATION - REPRESENTATION

The Director of Civil Aviation has quarterly meetings with the United Kingdom Department of Transport to discuss regulatory issues which relate to safety and security.

In addition to this, the Director meets on a six-monthly basis with his counterparts from the Crown Dependencies together with the Department for Transport as well.

This provides a framework for the discussion of areas of regulatory concern and for the discussion of emerging new technologies.

I want to take the opportunity to thank Chris Purkiss, the Director of Civil Aviation, for his assistance and support over the year.

NORTHERN DEFENCES

Madam Speaker, I will move on now to update the House on a number of Government projects.

The first are the works at the Northern Defences.

This area has become an increasingly popular spot for families, visitors, charities, schools and other organisations.

The House will recall that it lay neglected and abandoned for decades.

Sections of this historic network of fortifications have now been exposed, repaired and improved.

In September, AquaGib will start to lay new water mains.

The provision of utilities to this part of Gibraltar has always been a challenge.

Investigations and survey works continue.

This will help to identify the most efficient and sensitive routes through which to provide those services.

This year will also see the laying of electrical infrastructure, to provide uplighting of the northern walls of our Castle Keep.

Moorish Castle Communication, a tunnel which connects Moorish Castle Estate to the Prince's Lines, will be illuminated also.

While the removal of vegetation along walls and fortifications will continue after the nesting season, two breaks in vegetation will be introduced this year.

These breaks will serve a dual purpose.

The first is precisely to reduce the risk of fire.

The second, by locating them strategically, will see two key historic defensive structures exposed.

Those structures are the Retrenchment Wall and the Castle Batteries.

Madam Speaker, the Northern Defences is expected to become a catalyst for improvements in nearby areas.

It will allow for the coordinated use of several other associated historic sites such as the Grand Battery.

The Government have recently unblocked several embrasures there which have been prepared to receive a display of a number of historic guns.

This too will generate further interest in our military past.

My friend and colleague the Minister for Heritage is leading on this initiative.

However, as mentioned last year, a key achievement has been the completion of the mains water supply project.

This was finished by a series of steps, which have cleverly disguised dozens of meters of pipework.

It has also allowed for a new tourist product.

That product is a military trail which connects the Tower of Homage to Grand Casemates Square and the Town Area through the Northern Defences.

The Government is now in discussion with a preferred bidder following an Expression of Interest process for the future management of the site.

This will complete the journey to convert the work there into a reality.

The policy of the Government remains to expose over 1000 years of Gibraltar's military history as the visitor descends through the fortifications down those historic steps and ramps.

This site will showcase our Islamic, Spanish and British history.

The experience will add considerable tourism value to what Gibraltar already has to offer.

And at the same time it will also provide a home to family friendly and educational activities.

PARLIAMENT HOUSE

Madam Speaker, our commitment to heritage is also evident in the restoration of other key monuments and buildings such as the one where we currently sit.

The renovation of Parliament House, as Honourable Members know, has already commenced.

This will include repairs to its historic fabric, the installation of a new lift, the introduction of modern technology, the replacement of outdated infrastructure, and the restoration of the building's features.

The current ongoing works focus on two main elements.

The first related to the external fabric.

In that area, investigations have been completed on the condition of the roof, walls and columns.

Rendering and repairs have commenced.

Some aspects, such as the random rubble walls which you see today, will be exposed in the lobby area.

This feature deserves to be on public display, as it will serve as a reminder of a form of construction which is no longer in use.

Madam Speaker, internal stripping out works and demolitions have been completed over the last year.

This has allowed for a full survey on the internal condition of the actual building.

Works to the interior will consist of providing new offices, meeting rooms, storage areas, accessible toilet facilities and a lift.

This is the masterplan which was approved by the Development and Planning Commission and upon which Honourable Members opposite were consulted beforehand.

THE MOUNT

Madam Speaker, another site with huge potential is the Mount.

This location was home to Gibraltar's most famous Royal Engineer and several Admirals and Flag Officers.

The Government will continue to invest in this project during this financial year.

The approach adopted here is similar to that successfully applied at the Northern Defences, given its heritage value, size, and diverse ecosystem.

This gradual, phased approach, has meant we have embarked on several more manageable projects within a huge master plan.

The first is the path to the Upper Rock Nature Reserve.

Most of the historic paths within the grounds have now been cleared.

Many had been hidden from view, buried under rubble, bushes and weeds.

This has allowed us to better evaluate the full extent of the works to be executed.

A route from the Porters lodge, located at the northern entrance to the site, all the way to the Upper Rock Nature Reserve is currently being cleared.

This will allow future visitors to explore the garden and subsequently connect to the existing Upper Rock Nature Reserve trails which have been recently restored as well.

The refurbishment of the Porters Lodge itself is almost complete.

This extensive refurbishment will allow for this building to become part of the facilities at the Mount.

It can operate as a management and registry office.

This will be the first step towards creating the necessary amenities to manage events at this location.

The events hall, a separate building in the centre of the site, has also been surveyed.

Designs have been produced and Government has recently gone out to tender for its refurbishment.

The intention is for this charming building, together with the Porter's Lodge and outside space, to be used once again to host functions and ceremonies within a green, historic setting.

Madam Speaker, key to achieving a suitable atmosphere for ceremonies and events is the proper creation and maintenance of the gardens and outdoor spaces.

The Government has already commenced the repairs of the terraced gardens with the use of gabions which will reinforce collapsed retaining walls.

This is the same method already used at the Northern Defences.

Those terraces will extend to the Porter's Lodge.

The area will allow for orchards, water features and children's activities.

The existing tennis court has been largely refurbished and a new padel court will be introduced.

Central to the whole project is the Main Residence at the Mount.

This beautiful Georgian building is in need of significant investment.

It is currently being surveyed.

These investigations will allow us to better appreciate its condition, as well as the associated cost of its restoration.

I want to thank the Project Director at The Mount, the Northern Defences and the Parliament Mr Carl Viagas whose expertise in such restorations is well known to all.

OTHER DEVELOPMENTS

Madam Speaker, I also want to update the House on other developments.

The House knows that Government continues in discussions with a preferred bidder in respect of the redevelopment of the old air terminal site.

A treaty or no treaty outcome will colour the way forward given the critical location of the plot of land in question.

On another matter, the project to re-develop the Rooke site now has outline planning permission.

The developers have agreed to open up the Number 4 Dock, as requested, and have redesigned it to create a significant public space right in the centre of town.

A further cash premium of £10 million is due on full planning consent.

Meanwhile, the Government continues in negotiations with a preferred bidder in respect of the old GBC site at South Barrack Road.

This too followed a public Expression of Interest process.

More details will be made available in the event that the negotiations move to the MoU stage.

I take the opportunity to thank the management and staff of Land Property Services Ltd for their professional advice and the staff of the Lands Office in Convent Place.

CONCLUSION

In conclusion, Madam Speaker, there are not many places in the planet at the moment which can estimate a budgetary surplus.

This is therefore a better position to be in.

A step forward.

Public finances and economies the world over have taken a battering over the last few years.

And Gibraltar has been no exception.

The pandemic cost us hundreds of millions of pounds.

That same cost has saddled Governments everywhere with higher levels of debt.

The war in Ukraine fuelled a cost of living crisis.

And the negative impact of Brexit on the United Kingdom continues to be felt.

It is no secret that the consequences of our own departure from the European Union has been an all-consuming process for the Government.

We have, since 2016, sensibly dealt with that in phases.

One step at a time, Madam Speaker.

The first cemented our links with the United Kingdom.

The second established the framework for Gibraltar's orderly withdrawal.

The third led to the Political Agreement for a treaty together with the United Kingdom and Spain.

And the fourth and final phase is the actual conclusion of a treaty with the EU.

This intensive process has taken its toll in a small administration like our own.

The effects have been cross-cutting between departments and Ministries.

And it has gone hand in hand with a workstream designed to mitigate some of the consequences of no treaty at all.

In those circumstances, it is not unexpected that we have been unable to devote as much attention as we would have liked to other areas.

And this disappointed many people.

We get that.

All Governments make mistakes.

And we have never claimed to be infallible, Madam Speaker.

There is always room for improvement.

There is always more that could be done.

But the fact that we were re-elected, for the fourth time, in spite of what was thrown at us, is a sign that the people got it too.

So Madam Speaker, it remains for me to thank the public for their renewed trust.

I am grateful too to my Ministry staff Ernest Francis, Stephen Britto and Coral Schembri.

I also want to thank you, the Clerk and the staff of the Parliament.

Thank you.

ENDS

Public link

Please use the above public link if you want to share this noodl on another website.