Barcelona is a city in Spain. It is the capital and largest city of Catalonia, as well as the second most populous municipality of Spain. With a population of 1.6 million within city limits, its urban area extends to numerous neighbouring municipalities within the Province of Barcelona and is home to around 4.8 million people, making it the sixth most populous urban area in the European Union after Paris, London, Madrid, the Ruhr area and Milan. It is one of the largest metropolises on the Mediterranean Sea, located on the coast between the mouths of the rivers Llobregat and Besòs, and bounded to the west by the Serra de Collserola mountain range, the tallest peak of which is 512 metres (1,680 feet) high.

Founded as a Roman city, in the Middle Ages Barcelona became the capital of the County of Barcelona. After merging with the Kingdom of Aragon, Barcelona continued to be an important city in the Crown of Aragon as an economic and administrative centre of this Crown and the capital of the Principality of Catalonia. Barcelona has a rich cultural heritage and is today an important cultural centre and a major tourist destination. Particularly renowned are the architectural works of Antoni Gaudí and Lluís Domènech i Montaner, which have been designated UNESCO World Heritage Sites. The headquarters of the Union for the Mediterranean are located in Barcelona. The city is known for hosting the 1992 Summer Olympics as well as world-class conferences and expositions and also many international sport tournaments.

Barcelona is one of the world's leading tourist, economic, trade fair and cultural centres, and its influence in commerce, education, entertainment, media, fashion, science, and the arts all contribute to its status as one of the world's major global cities. It is a major cultural and economic centre in southwestern Europe, 24th in the world (before Zürich, after Frankfurt) and a financial centre. In 2008 it was the fourth most economically powerful city by GDP in the European Union and 35th in the world with GDP amounting to €177 billion. In 2012 Barcelona had a GDP of $170 billion; and it was leading Spain in employment rate in that moment.

In 2009 the city was ranked Europe's third and one of the world's most successful as a city brand. In the same year the city was ranked Europe's fourth best city for business and fastest improving European city, with growth improved by 17% per year, and the city has been experiencing strong and renewed growth for the past three years. Since 2011 Barcelona has been a leading smart city in Europe. Barcelona is a transport hub, with the Port of Barcelona being one of Europe's principal seaports and busiest European passenger port, an international airport, Barcelona–El Prat Airport, which handles over 50 million passengers per year, an extensive motorway network, and a high-speed rail line with a link to France and the rest of Europe.

Gibraltar  is a British Overseas Territory 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 30,000 people, primarily Gibraltarians. It shares a maritime border with Morocco.

In 1704, Anglo-Dutch forces captured Gibraltar from Spain during the War of the Spanish Succession on behalf of the Habsburg claim to the Spanish throne. The territory was ceded to Great Britain in perpetuity under the Treaty of Utrechtin 1713. During World War II it was an important base for the Royal Navy as it controlled the entrance and exit to the Mediterranean Sea, which is only 8 miles (13 km) wide at this naval choke point. It remains strategically important, with half the world's seaborne trade passing through the strait. Today Gibraltar's economy is based largely on tourism, online gambling, financial services and cargo ship refuelling.

The sovereignty of Gibraltar is a point of contention in Anglo-Spanish relations because Spain asserts a claim to the territory. Gibraltarians rejected proposals for Spanish sovereignty in a 1967 referendum and, in a 2002 referendum, the idea of shared sovereignty was also rejected.

Lisbon is the capital and the largest city of Portugal, with an estimated population of 505,526 within its administrative limits in an area of 100.05 km2. Its urban area extends beyond the city's administrative limits with a population of around 2.8 million people, being the 11th-most populous urban area in the European Union. About 3 million people live in the Lisbon Metropolitan Area (which represents approximately 27% of the country's population). It is mainland Europe's westernmost capital city and the only one along the Atlantic coast. Lisbon lies in the western Iberian Peninsula on the Atlantic Ocean and the River Tagus. The westernmost areas of its metro area form the westernmost point of Continental Europe, which is known as Cabo da Roca, located in the Sintra Mountains.