MercoPress. South Atlantic News Agency

The Spanish are “a good EU and NATO partner”.

”We believe it was appropriate for a member of the (British) Cabinet to attend the (Gibraltar) ceremonies on Wednesday and we don't see any difficulty in taking that decision”, replied a 10 Downing Street spokesman when asked to comment on Spain's reported disapproval of Defence Secretary Geoff Hoon's attendance at Gibraltar's tercentenary celebrations on Wednesday.

Britain has a good relationship with Spain "as you would expect". The Spanish "are a good EU and NATO partner".

But Maria Teresa Fernandez de la Vega the vice president of the Spanish Government reiterated her disappointment at Britain's involvement in the Tercentenary celebrations.

"The British Government has wasted a great opportunity to avoid opening wounds with the commemoration of an event which divided our two countries which are allies and friends" she told Avui magazine adding the events are "inopportune and unfortunate." < However Mrs. de la Vega moved to cool the diplomatic spat between Madrid and London by insisting her country would seek a diplomatic settlement over the status of Gibraltar. "We will go down the diplomatic road" she told reporters referring to a growing row over Mr. Hoon attending Gibraltar celebrations. "We will seek a dialogue," she added.

Meanwhile the Foreign Office was quoted as saying that it is prepared to resolve any differences with Spain in a tranquil manner. It was responding to the "emotive" language emerging from Spain.

And Peter Caruana Chief Minister defended the celebrations to mark 300 years of British rule on the BBC Today Programme, telling the Spanish it is "none of their business". Mr. Caruana said Spain had "no geographical case" to interfere.

"For the Spaniards... to try and lecture us on how we should commemorate that is none of their business and somewhat impertinent," he told BBC Radio 4.

Spanish foreign secretary Miguel Angel Moratinos remarked it was "not easy to maintain normal relations with Great Britain" because of the Gibraltar issue. And Socialist MP Diego Lopez Garrido added: "I think it is a bad decision. It is unnecessary and could be an offensive action against Spaniards".

But Mr Caruana hit back, saying that Gibraltar is an obsession of Spain's political classes. He told BBC Radio 4's Today programme: "We are not celebrating a military battle fought and won by British forces in 1704.

"We are celebrating the 300th anniversary of British sovereignty and our relationship with Britain which has given us everything we have". He then accused Spain of trying to make a live issue of Gibraltar's sovereignty, which he says is a settled issue.

Defence Secretary Geoff Hoon arrived in Gibraltar airport on Monday with First Sea Lord Admiral Sir Alan West.