I believe commonwealth countries are also included in the 'community' for licencing purposes, since australian and canadian licence holders can also drive until theirs run out.
The word "community" in that context does really mean the European Community, (now the European Union). There is no automatic right for British Commonwealth licence holders to drive in the UK. Gibraltar and 15 countries have reciprocal licencing agreements with the UK and they are: Australia, Barbados, British Virgin Islands, Canada, Falkland Islands, Faroe Islands*, Hong Kong, Japan, Monaco, New Zealand, Republic of Korea*, Singapore, South Africa, Switzerland and Zimbabwe.
*Motorcycle entitlement from the Republic of Korea and Faroe Islands is not exchangeable.