Can UK driving licence holders borrow a car in Spain?

One of our followers have sent an email with the following question;

"There is a rumour that visitors from the UK who have a UK drivers licence are no longer allowed to borrow a car from friends who are resident in Spain.  

I have contacted my insurance agents  and they say that this is untrue and that there is no change.  My understanding is that, in Spain, it is the car that is insured and not the person.  Therefore, the car owner´s insurance will cover any driver.  

However, I have been told that it is a LEGAL problem, not an INSURANCE problem and that British holidaymakers have recently been fined by the Police for driving a car that belongs to someone resident in Spain, even though they have permission from the car owner.  I have UK friends arriving to stay very soon and I want to lend them my car, but not if they are going to risk being fined!  Can you comment please?"

N332; As long as the person has  a valid driving license (provisonals are not valid), the age required for driving that category in Spain, and the vehicle has an adequate* coverage on the vehicle there is no problem.

*Most insurance companies require that drivers under 25 years old must be explicitly included in the policy, and some licences from other countries are not accepted. But this will only affect you in case of an accident, the Police will not fine you because the vehicle has its insurance in force.

The UK has left the EU but its driving licences are recognized all over the world. Remember that old licences without photos required the IDP, maybe this is what some people have heard about some police fines.

We hope we have helped you all with the doubt.