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MEPs and legal experts have claimed the veto over the territorys future after Brexit would give Spain special status among EU nation, when they should be on an equal level.

The EUs Brexit negotiating guidelines stated that the Brexit deal will not apply to Gibraltar without an agreement between the kingdom of Spain and the UK.

Experts have told the Telegraph that the veto could be illegal under EU law.

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Gibraltar has its own political system that makes many decisions within the territory but issues like defence and foreign affairs are determined by the UK Government in London

EU Law expert Professor Steve Peers from the University of Essex said: Nothing is clear about the legal issues arising from Article 50.

Usually the European Court of Justice says the EU has flexibility in international negotiations.

In 2002 Gibraltar held a referendum on its sovereignty with the majority of people wanting to remain a part of Britain.

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Gibraltars chief minister Fabian Picardo has said his country would not be excluded from talks to secure a better post-Brexit deal.

Mr Picardo has said he would not accept any compromise with Madrid on the future of the Rock.

He said: We will not accept any compromise on sovereignty, jurisdiction or control as the price for any new future trading arrangements with the United Kingdom and the European Union.

The Secretary of State David Davis has told us he would not do a deal on a future trade deal with the European Union if it excluded Gibraltar.

Spain has a long-standing territorial claim on Gibraltar, which has been held by the UK since 1713.

Madrid has made it clear that it views the UKs departure from the EU as its chance to reclaim sovereignty.

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'Nothing is clear! Spain's Brexit veto over Gibraltar could be ILLEGAL under EU's laws - Express.co.uk