Gibraltar border row: UK and Spain PMs in talks
7 August 2013 Last updated at 19:24 BST
UK PM David Cameron says he had a "constructive" phone conversation with his Spanish counterpart Mariano Rajoy over the Gibraltar border checks row.
No 10 said during the call Mr Rajoy offered to reduce the checks, which Britain's ambassador to Spain has described as "disproportionate".
But in a subsequent statement, the Spanish PM insisted the checks were "perfectly in line" with regulations.
Tom Burridge reports.