UK set to impose trade restrictions on Israeli West Bank settlements

The United Kingdom is expected to announce restrictions targeting trade with Israeli settlements in the West Bank on Tuesday, a move already drawing strong pushback Monday from U.S. and Israeli officials.

According to The Times, a US State Department said Washington was “tracking the plans closely.”

The measures are expected to include an embargo on goods and some services involving West Bank settlements marking an escalation in London’s pressure on Israel under new Prime Minister Andy Burnham, who has taken a firmer stance on the conflict, according to reports.

The announcement is expected to come a day after Burnham spoke by phone with President Donald Trump.

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According to a No. 10 Downing Street readout of the call Monday, the two leaders discussed the Middle East, with Burnham highlighting the importance of a two-state solution which calls for an independent Palestinian state comprising the West Bank and Gaza Strip to exist alongside Israel.

“On the Middle East, the Prime Minister set out the UK’s commitment to working towards peace and security in the region, stressing the importance of the Two-State Solution,” the spokesperson said.

The readout did not mention the planned sanctions. Bloomberg reported, however, that the timing of the call suggested Burnham may have briefed Trump on the measures targeting goods and services linked to Israeli settlements in the West Bank.

The move could create an early point of friction between Burnham and Washington, where the Trump administration has strongly backed Israel, the outlet said.

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The new measures, billed widely as sanctions, are expected to be formally unveiled by Foreign Secretary Ed Miliband, who has already pledged a “comprehensive reset” of Britain’s policy toward Israeli settlements in the West Bank.

Miliband signaled last week that measures were coming in response to Israeli settlement expansion, including the E1 project east of Jerusalem, according to The National.

He went on to describe E1 as a longstanding “red line” and said Britain would take action to protect the prospect of a two-state solution.

The planned sanction announcement has already drawn sharp criticism in Israel and the United States.

Israeli Finance Minister Bezalel Smotrich called for the British ambassador’s expulsion in a post on X.

“We will not be a doormat for an antisemitic government in a country occupied by radical Islam that is trying to escape economic and social collapse by attacking Jews and the State of Israel,” Smotrich wrote. “The British Mandate in Israel is over.”

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National Security Minister Itamar Ben-Gvir also condemned the planned restrictions, writing in Spanish on X that Israeli Prime Minister Benjamin Netanyahu should retaliate by recognizing Argentine sovereignty over the Falkland Islands and imposing sanctions on Britain.

Ben-Gvir accused Britain of having “violently” taken the disputed islands, known in Argentina as the Malvinas, the Times of Israel reported.

In the United States, Rep. Randy Fine, R-Fla., also warned in a post on X that the planned measures could implicate Florida’s anti-boycott law and potentially prevent some affected British companies from doing business with state and local governments.

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Meanwhile, Burnham has joined leaders from Canada, France, Germany, Italy and other countries in condemning Israel’s E1 settlement expansion, arguing that the project threatens the viability of a future Palestinian state.