Twelve nations ban Israeli settlement goods as Israel closes British consulate

Coordinated trade restrictions on West Bank settlements

Twelve nations, led by the United Kingdom, France, and Canada, announced coordinated import bans and trade restrictions on goods produced in Israeli settlements across the occupied West Bank on 8 September 2026. The coalition also includes Denmark, Spain, Finland, Ireland, Iceland, Norway, Poland, Portugal, and Sweden. The joint initiative emerged from bilateral discussions in London between the French presidency and the British government. In London, UK Foreign Secretary Ed Miliband presented the policy to the House of Commons, affirming that the UK officially views the settlements and the broader occupation as unlawful. French Foreign Minister Jean-Noël Barrot announced the parallel French measures on social media.

France is going to put an end to its commerce with Israeli settlements in Palestine, along with 11 other countries which have also undertaken similar engagements.

British policy shift and Israeli diplomatic retaliation

The British measures bar the entry of settlement goods into retail shops and apply sanctions against businesses that construct or finance settlement infrastructure, including housing and transport links. Miliband stated that the UK sought to protect the two-state solution, while reaffirming Israel's right to exist. Israel responded with immediate diplomatic penalties against London. Israeli Foreign Minister Gideon Sa'ar ordered the closure of the British consulate in Jerusalem and imposed entry bans on 12 unnamed British nationals whom he described as antisemitic. Sa'ar rejected Miliband's accusations of ethnic cleansing by militant settlers as outrageous lies.

The sanctions regime will target illegal settlements and settlement expansion, not Israel.

Settlement growth and the E1 project dispute

Diplomats from participating countries pointed to accelerating settlement construction and violence against Palestinians as the trigger for the sanctions. In particular, the Israeli government's decision to issue tenders for the E1 project, comprising more than 1,200 planned homes, was identified by European officials as a red line because it divides the West Bank and prevents a contiguous Palestinian state. The International Court of Justice determined in 2024 that Israeli settlement policy in occupied territory violates international law. More than 500,000 Israeli settlers currently live alongside roughly three million Palestinians in the West Bank, which Israel has occupied since the 1967 Six-Day War.

International divisions and regional reactions

The 12 governments enacted national bans after attempts to pass a European Union trade embargo failed to gain a qualified majority, primarily due to German opposition. Several European states, including the Netherlands, Ireland, Belgium, Spain, and Norway, had already started or finalized national import restrictions. In Jerusalem, Israeli President Isaac Herzog called the UK policy a severe misjudgment and alleged interference in upcoming Israeli elections. Israeli Finance Minister Bezalel Smotrich demanded the expulsion of the British ambassador, while Police Minister Itamar Ben-Gvir called on Israel to recognize Argentine sovereignty over the Falkland Islands. United States Ambassador to Israel Mike Huckabee criticized the UK measures on the BBC as discrimination against Jewish people. Alongside the settlement bans, Miliband announced British sanctions on the Hezbollah-linked financial institution Al-Qard al-Hasan and reimposed sanctions on Iran.