Good news for British residents living and driving in Spain. UK driving licences will now continue to be valid until April 30 as talks between the British and Spanish authorities continue, the British Embassy said in a statement:
"Following the British Ambassador’s message last week we are pleased to let you know that yesterday the Spanish Government confirmed an extension of the current grace period for the recognition of UK driving licences (https://www.lamoncloa.gob.es/.../refc20220222).
That means that those of you who were living in Spain before 1 January 2021 can continue to drive in Spain with your valid UK driving licence until 30 April 2022.
If you moved to Spain after 1 January 2021, your licence will be recognised for six months from the date your obtained residence, or until 30 April 2022, whichever is later.
For those of you who registered your intention to exchange your licence with the DGT before 30 December 2020, but have not yet done so, you have until 30 April to request an appointment.
As the Ambassador said, negotiations are continuing and we are committed to reaching a long-term agreement with Spain to enable UK licence holders to exchange their licences without taking a test.
However, we recognise that this two-month extension is not as long as we would have liked and does not resolve the ongoing uncertainty as negotiations continue.
Therefore, if it is essential for you to drive, you may not want to wait for the outcome of the ongoing negotiations and you may decide to apply for a Spanish driving licence now.
https://sede.dgt.gob.es/.../permiso-conducir/index.shtml
This involves taking both a practical and theory test. You can find out more about the process on the DGT site, where the information is also available in English.