The body was discovered in the sea opposite the lighthouse in the city of Puerto de la Cruz where the Ms Gerard, 28, lived and worked as a killer whale trainer.
A police spokesman said: “I can confirm a woman’s body has been found in the sea.
“It is too early to say at this stage whether it is that of the missing Brit or not."
The body was found around a seven minutes walk away - just 600m - from the Molly Malone bar where she had been last seen.
Ms Gerard's family have described her disappearance as completely ‘out of character’ while friends have described the killer whale trainer as a ‘beautiful person inside and out’