Britain Prepares New Sanctions Push Against Israel Over E1 Building

Britain is preparing a new sanctions package against Israel, as London and several allied governments seek to increase pressure over construction plans in E1 and over what they describe as rising violence in Judea and Samaria.

According to British reports, the move is being advanced by the Foreign Office in coordination with eight other Western countries, including France and Australia. The package is aimed at deterring Israeli construction in the E1 area between Jerusalem and Ma’ale Adumim, which Western diplomats have long viewed as a major obstacle to the establishment of a future Palestinian state.

The issue has gained urgency in London following Finance Minister Bezalel Smotrich’s push to advance building plans in E1. Western officials argue that construction there could seriously damage the geographic contiguity they view as necessary for a two-state framework. Israel’s right argues that the area is strategically essential and that building there is part of securing Israeli control around Jerusalem.

The British move comes amid growing pressure inside Prime Minister Keir Starmer’s Labour Party. Last week, 137 Labour MPs signed a letter calling on the government to take “urgent, concrete action” against Israel, including steps targeting Jewish communities in Judea and Samaria and the trade connected to them.

The measures now under discussion could include sanctions against entities involved in the E1 project, as well as restrictions tied to alleged settler violence. Reports in Britain have also raised the possibility of a broader trade ban on goods from Judea and Samaria, a step that would mark a significant escalation in London’s policy toward Israel.

The UK has already taken several moves against Israel over the past year, including sanctions on Israeli ministers Itamar Ben-Gvir and Bezalel Smotrich, as well as measures against individuals and organizations accused of supporting violence in Judea and Samaria. The new package would broaden that approach from individuals to wider economic and commercial pressure.

The timing is diplomatically sensitive. The reported sanctions effort comes as Western governments continue to declare support for a two-state solution, while Israel’s government rejects outside pressure on construction policy and argues that such measures reward Palestinian rejectionism and internationalize a conflict that should be addressed through direct security and diplomatic realities.

China, Russia and Iran are not the focus of this Western campaign. Instead, a growing bloc of European and allied governments is directing pressure at Israel, with Britain now positioning itself near the front of that effort.

For Jerusalem, the message from London is clear: E1 has become a diplomatic red line. For Israel’s critics in Britain, it is a test case for whether Western governments are prepared to move from statements to sanctions.