The European Commission said Spain should "optimise" its profiling system at the Gibraltar border "in order to reduce the large amount of random border controls".
However, the EU said the Spanish authorities had not broken any EU laws with its tight border checks.
"The Commission has not found evidence to conclude that the checks on persons and goods as operated by the Spanish authorities at the crossing point ... have infringed the relevant provisions of Union law," it said in a statement.
More top news
England manager Sam Allardyce says it was an easy decision to keep Wayne Rooney on as captain.
Four-year-olds Rosie and Ruby Formosa were conjoined at birth and given a slim chance of survival.
Thomas Jackson died a week after being stabbed as he tried to save fellow Brit Mia Ayliffe-Chung as she was attacked in Australia.