Spanish Foreign Minister Jose Manuel Albares has urged Britain to close a deal on the post-Brexit status of the British overseas territory of Gibraltar by November 10, before new EU border controls kick in, likely creating a hard border in Gibraltar.

The status of Gibraltar – an enclave at the southern tip of Spain that has been under British rule for centuries – and how to police the border with Spain have been points of contention since Britain voted in 2016 to leave the European Union.

Spain, Britain and the EU agreed on December 31, 2020, hours before Britain's full exit from the bloc, that Gibraltar would remain part of EU agreements such as the border-free Schengen Area, pending a lasting solution.

"It's time for the United Kingdom to say yes to a balanced and generous agreement that we have put on the table a long time ago," Albares told reporters.

Last year, Spain and Britain said they were very close to signing a deal but could not yet agree on the joint use and policing of Gibraltar airport.

A new British negotiating team took over the talks after Labour came to power in July and the sides have been mum on any progress since.

Albares said that although the new border control system had nothing to do with the Gibraltar agreement, it would have an impact on thousands of people on both sides of the border.

"We propose ... to include Gibraltar within the Schengen area, but it is up to Britain to decide whether it prefers that or prefers that from November 10 there is this system of entry and exit for Gibraltar residents," he said.

The EU's European Entry/Exit System will remove the requirement to manually stamp passports at the EU's external border and instead create digital records that link a travel document to a person's identity using biometrics.

It will require non-EU citizens arriving in a Schengen area destination to register their fingerprints, provide a facial scan and answer questions about their stay.