Leak of Gibraltar plan 'was sabotage'

Leaks of an alleged imminent deal to let Spain share sovereignty over Gibraltar were condemned yesterday as an attempt to sabotage talks over the British colony's future.

The disclosure that Britain and Spain were close to agreement on shared sovereignty, subject to a referendum in Gibraltar, provoked outrage among Opposition MPs in Britain and campaigners in Gibraltar who want the colony to remain British.

The Foreign Office insisted no agreement had been made and dismissed claims that the former Cabinet minister Peter Mandelson could be the new Governor of Gibraltar to "see the transition through".

Government sources believe the leaks were intended to scupper talks next month between Spanish and British ministers.

Spain's El Pais newspaper reported on Friday that agreement was close between Britain and Spain over sharing sovereignty indefinitely. Spain has long proposed a period of co-sovereignty of about 50 years as a transition towards full transfer to Spain, during which confidence-building measures would be established to win over Gibraltarians. Britain has always rejected the offer.

Both sides promise to have a deal ready by the summer, and accept that Gibraltarians must approve it.

The shadow foreign secretary Michael Ancram said: "We should make no mistake – sovereignty shared is sovereignty surrendered."

The Labour MP Lindsay Hoyle, chairman of the All-Party Parliamentary Group on Gibraltar, said he was disgusted at the reports.

Mr Hoyle, member for Chorley, said: "I am bitterly disappointed, especially as we were given assurances at all levels of government that sovereignty was not on the agenda. I am sure the people of Gibraltar will give a massive majority against joining with Spain. I feel the British government has capitulated to guarantee votes in Europe."

Gibraltar's first minister, Peter Caruana, opposes governance by Spain and boycotted talks in Barcelona in November between Jack Straw, the Foreign Secretary, and his Spanish counterpart, Josep Pique, to which Mr Caruana was invited.

A Foreign Office spokesman said: "We've always been open about that sovereignty would come up, but this is pretty delicate stuff and it is not helpful is to speculate where things might lead."