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Gibraltar ( jih-BRAWL-tər, Spanish: [xiβɾalˈtaɾ]) is a British Overseas Territory and city located at the southern tip of the Iberian Peninsula. It has an area of 6.7 km2 (2.6 sq mi) and is bordered to the north by Spain. The landscape is dominated by the Rock of Gibraltar, at the foot of which is a densely populated town area, home to over 32,000 people, primarily Gibraltarians.
In 1704, Anglo-Dutch forces captured Gibraltar from Spain during the War of the Spanish Succession. The territory was ceded to Great Britain in perpetuity under the Treaty of Utrecht in 1713. It became an important base for the Royal Navy, particularly during the Napoleonic Wars and World War II, as it controlled the narrow entrance and exit to the Mediterranean Sea, the Strait of Gibraltar, which is only 14.3 km (8.9 mi) wide. This choke point remains strategically important, with half the world's seaborne trade passing through it. Gibraltar's economy is based largely on tourism, online gambling, financial services, and bunkering.
The sovereignty of Gibraltar is a point of contention in Anglo-Spanish relations, as Spain asserts a claim to the territory. Gibraltarians overwhelmingly rejected proposals for Spanish sovereignty in a 1967 referendum, and for shared sovereignty in a 2002 referendum. Nevertheless, Gibraltar maintains close economic and cultural links with Spain, with many Gibraltarians speaking Spanish as well as a local dialect known as Llanito.
Since Brexit, Gibraltar is not a member of the European Union but negotiations are underway to have it participate in the Schengen Agreement to facilitate border movements between Gibraltar and Spain. As of March 2023, talks seem deadlocked.