The British government on Tuesday announced a ban on imports of goods from Israeli settlements in the occupied West Bank, alongside a package of sanctions targeting settlement expansion and individuals and companies contributing to it.
Speaking before the House of Commons, British Foreign Secretary Ed Miliband said the government would establish a “comprehensive sanctions regime” with appropriate religious exemptions. He added that he did not believe Britons wanted their country to support the occupation by selling settlement products in British stores.
Miliband stressed that the sanctions target illegal settlements and their expansion, not Israel, and expressed his opposition to the Boycott, Divestment and Sanctions (BDS) movement against Israel.
Addressing individuals and companies providing services, including construction and financing, that contribute to settlement expansion, Miliband said: “You will face the full force of British sanctions.”
He also announced a ban on advertising illegal settlements in Britain and sanctions against an additional group of settlers whom he described as “extremists,” saying they had supported or incited violence against Palestinian communities.
Miliband said Britain would expand its existing global human rights sanctions regime to enable faster action to deter settlement expansion, particularly efforts to prevent the implementation of the E1 project east of Jerusalem.
He said the British government’s official position now considers the Israeli occupation “illegal,” adding that Britain agrees that what is taking place in some parts of the West Bank amounts to “ethnic cleansing.”
He said “settler terrorists” were carrying out such acts, while the Israeli government often turns a blind eye.
Additional Restrictions on Arms Exports
Miliband said the suspension of more than 30 licenses for arms exports that could be used by the Israeli military in Gaza remains in effect.
He added that the government would reject all applications for licenses to export weapons or other goods that it believes “materially contribute to the occupation,” describing the measure as providing a “double restriction” on arms sales.
The restrictions on such exports, he said, would remain in place as long as the occupation continues.
Miliband also called on Israel to release tax revenues it is withholding from the Palestinian Authority, saying the withholding was causing a financial crisis that was hampering the delivery of basic services in the West Bank.
He said the measures sent a clear message to the Israeli government, Palestinians in the occupied territories and the world that Britain “will not accept the destruction of the two-state solution.”
France and Canada Plan Similar Bans
Miliband said France and Canada would also announce bans on imports of goods from illegal settlements.
The two countries would thereby join the Netherlands, Ireland, Belgium, Spain and Norway, which have either banned such goods or begun procedures to impose bans.
According to Miliband, Denmark, Finland, Iceland, Poland, Portugal and Sweden have pledged to support further measures.
EU countries remain divided over imposing a broader ban on settlement products.
The Dutch ban is due to take effect on September 22, while Ireland has approved a ban covering goods but not services, and Belgium has approved a similar measure.
Spain has imposed a ban on settlement products, along with a comprehensive ban on arms exports to Israel.
Other countries, including Germany and the Czech Republic, oppose a broader EU-wide ban.
The European Union is Israel’s largest trading partner, with goods trade with the bloc accounting for about 31.7% of Israel’s total global goods trade last year.
Divisions Within Britain
Shadow Home Secretary Chris Philp described the measures as a “political stunt,” saying their implementation would be difficult because of challenges in distinguishing goods originating in Israel from those produced in West Bank settlements.
He nevertheless said the Conservative Party supports the two-state solution and that building settlements on Palestinian land is “clearly wrong.”
Labour MP and Foreign Affairs Committee Chair Emily Thornberry, meanwhile, said the British government must confront Israeli plans to expand settlements.
She cited sanctions imposed on Russia following its annexation of Crimea as evidence that it is possible to distinguish between goods produced in different areas.
Labour MP and vice-chair of the Labour Friends of Israel group Peter Prinsley said the sanctions risk increasing the likelihood of attacks against members of Britain’s Jewish community.
Organizations representing sections of British Jewry expressed “serious concerns about unintended consequences,” warning that broad measures could legitimize a boycott movement that, they said, could marginalize or stigmatize British Jews.
In contrast, around 1,000 British Jews signed an open letter in July supporting a ban on trade with settlements. The letter was organized by the left-wing Jewish group Yachad.
Miliband began his speech by addressing rising antisemitism in Britain, describing it as a “scourge” and “evil,” while stressing that supporting Israel’s existence is not incompatible with supporting Palestinians.
E1 Settlement Project
The British move comes after Israel opened a tender for the construction of around 1,200 settlement homes in the area known as E1, east of Jerusalem, prompting widespread international condemnation.
Israel has delayed construction plans in the area for decades amid international pressure, as development there would effectively divide the West Bank into two parts.
The tender is scheduled to close days before Israel’s general election in October, potentially making it more difficult for any incoming government to cancel tenders issued before the election.
Miliband said last week that the plans were “illegal under international law” and described them as crossing a “red line,” because they cut through the heart of the West Bank and threaten to make the establishment of a viable Palestinian state practically impossible.
Prime Minister Andy Burnham also warned that the project could “threaten or end” the two-state solution.
Israeli Finance Minister Bezalel Smotrich said last year that implementing the project would “bury once and for all the idea of a Palestinian state.”
Settlement Expansion Accelerates
Settlement expansion has accelerated significantly since Benjamin Netanyahu returned as prime minister in late 2022, and intensified following the outbreak of the Gaza war after the Hamas-led attack on Israel on October 7, 2023.
The current Israeli government has advanced plans for more than 100 new settlements, including outposts established without planning permits or Israeli government approval.
It has also lifted a 20-year ban on settlement activity in the area surrounding Jenin in the northern West Bank.
Israeli settlements in the West Bank and East Jerusalem are considered illegal under international law, a position rejected by Israel.
Israel has built around 160 settlements housing approximately 700,000 Jews since occupying the West Bank and East Jerusalem in 1967. An estimated 3.3 million Palestinians live alongside them.
Settler attacks against Palestinians and their property have increased since the Gaza war began.
According to the United Nations, 316 Palestinians were killed by Israeli forces or settlers from the beginning of 2025 through the end of July 2026, while more than 5,600 others were injured.
The UN also said settler-related attacks have caused an average of about three injuries per day this year.
The British government believes the rapid expansion of settlements is undermining prospects for a two-state solution.
The proposal for an independent Palestinian state in the West Bank and Gaza Strip, with East Jerusalem as its capital and living alongside Israel, has enjoyed international support for decades.
The current Israeli government rejects the two-state solution, saying any final settlement must result from negotiations with the Palestinians and that Palestinian statehood should not be a precondition.
The Palestinian Authority supports the two-state solution, while Hamas says it could accept an interim Palestinian state along the 1967 borders without formally recognizing Israel, provided Palestinian refugees are granted the right of return.
In a broader context, Miliband also announced during his speech sanctions against Al-Qard Al-Hassan, which he described as a Hezbollah-linked financing arm, as well as the reimposition of broad economic sanctions on Iran in coordination with the United States and the European Union.
Source: Agencies