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A third of Labour lawmakers urge Britain to ban trade with Israeli settlements

Published by Global Banking & Finance Review

Posted on June 8, 2026

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· Last updated: June 8, 2026

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Over a Third of Labour MPs Push for UK Trade Ban with Israeli Settlements

Labour Party Lawmakers Urge Government Action on Israeli Settlements

By Alistair Smout

Labour MPs Call for Trade Ban

LONDON, June 8 (Reuters) - More than a third of lawmakers from Britain's governing Labour Party signed a letter on Monday calling on the British government to end trade with Israeli settlements in the occupied West Bank.

Starmer Faces Internal Party Pressure

Prime Minister Keir Starmer has had to balance Britain's historic position as a close ally of Israel and the United States with pressure from within his centre-left party to take a firmer line over Israeli actions towards Palestinians.

Details of the Letter

"There is an urgent need for accountability and concrete consequences in response to Israel's violations against Palestinians in the occupied West Bank and East Jerusalem, which are spiralling by the day," said the letter. "We believe ending trade with settlements is a vital next step."

It was signed by 137 Labour lawmakers, more than a third of the party's 402 members of the 650-seat House of Commons.

International and Regional Context

Expansion of Israeli Settlements

Israel's governing coalition has enabled a rapid expansion of settlements, with some ministers openly calling for the annexation of the West Bank, land that Israel captured in a 1967 war, where Palestinians hope for a state. Most countries consider settlements there a violation of international law.

Settler violence against Palestinians in the West Bank has also surged since the Gaza war began in October 2023.

European Responses

Last year, Spain became the first EU country to announce a ban on imports of goods from Israeli settlements, and other European countries such as Ireland and the Netherlands are considering similar steps.

UK Government's Position and Actions

Official Response to the Letter

Asked about the letter and the call for a trade ban, a spokesperson for Britain's Foreign Ministry did not comment directly but said Britain had "strongly and repeatedly condemned settler violence and the expansion of illegal settlements".

"We continue to call on the Israeli authorities to clamp down on all those who are seeking to inflame tensions, and to tackle the unacceptable violence and destruction of property that is being committed by settler groups against Palestinian communities," the spokesperson said.

Recent UK Measures Regarding Israel

Under Starmer, London has paused free trade talks with Israel, suspended some arms export licences and imposed sanctions on two far-right Israeli cabinet ministers, Itamar Ben-Gvir and Bezalel Smotrich. Last year Britain joined allies including France and Canada in recognising a Palestinian state.

Britain has opposed a proposed new settlement known as E1, which would split the West Bank in two, and has joined allies in urging businesses not to bid for tenders to build it.

Potential Future Actions

The Guardian newspaper reported late on Sunday that Britain was preparing new measures to deter companies from getting involved in the E1 settlement. The government said it would not comment on future sanctions plans.

(Reporting by Alistair SmoutEditing by Peter Graff)

Key Takeaways

  • 137 Labour lawmakers (over one-third of its Commons MPs) signed a letter demanding an end to UK trade with illegal Israeli settlements, citing spiralling violations against Palestinians in the West Bank and East Jerusalem. (theguardian.com)
  • The push comes amid broader shifts in UK policy – sanctions on far‑right Israeli ministers, a freeze on free‑trade talks with Israel, and consideration of trade‑level measures tied to proposed settlement projects like E1. (easternherald.com)
  • Labour Party members also overwhelmingly support tougher action: polling shows 87% back a ban on trade with illegal settlements, alongside support for suspending arms exports and the UK‑Israel trade agreement. (thecanary.co)

References

Frequently Asked Questions

What are Labour MPs urging the British government to do regarding Israeli settlements?
They are calling for the UK to end trade with Israeli settlements in the occupied West Bank.
How many Labour lawmakers signed the letter for a trade ban with Israeli settlements?
137 Labour lawmakers, more than a third of the party’s 402 MPs, signed the letter.
What actions has the UK taken regarding Israel and the West Bank settlements?
The UK has paused free trade talks with Israel, suspended some arms export licenses, imposed sanctions on two Israeli ministers, and joined in recognizing a Palestinian state.
Why do the lawmakers support banning trade with Israeli settlements?
They believe it is a vital next step for accountability and consequences for violations in the occupied West Bank and East Jerusalem.
Has any other European country banned trade with Israeli settlements?
Yes, Spain became the first EU country to announce a ban on imports from Israeli settlements, while Ireland and the Netherlands are considering similar steps.

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