London: Britain’s new Foreign Secretary Ed Miliband has announced a sweeping policy overhaul toward Israel, pledging to introduce measures that would restrict UK companies from financing, constructing or advertising new settlements in the occupied West Bank.
Addressing Parliament for the first time in his role, Miliband described the UK government’s approach as a “comprehensive reset” of its policy on Israel, to be implemented “in the coming weeks”.
His statement came in direct response to Israel’s decision last month to open tenders for the construction of approximately 1,200 settlement homes in the E1 area, a strategically important corridor east of Jerusalem. Miliband called the plans “illegal under international law” and described them as “the crossing of a red line, as it cuts through the heart of the West Bank and risks making a Palestinian state unviable”.
UK Prime Minister Andy Burnham echoed these concerns, warning that Israel’s E1 settlement expansion could “imperil or end” the two-state solution in the Middle East.
The E1 development is particularly sensitive because it would effectively divide the West Bank in two and isolate East Jerusalem from the rest of Palestinian territory. The plans have drawn widespread international condemnation.
All settlements in the West Bank are considered illegal under international law. Despite decades of global pressure, Israel had previously held back on building in the E1 area.
Israel’s Foreign Minister Gideon Saar responded sharply to the British position. In comments to Hebrew-language news website Ynet, he warned: “If Britain acts against Israel, Israel will act against Britain,” adding that the UK would be making “a big mistake” by proceeding with sanctions.
The two-state solution, which has received broad international backing, proposes an independent Palestinian state in the West Bank and Gaza, with East Jerusalem as its capital, existing alongside Israel. The Palestinian Authority supports this framework, while Hamas rejects it. Israel also rejects a two-state solution.
Miliband’s announcement signals a notable shift in London’s posture toward Tel Aviv at a time when international pressure over settlement expansion continues to grow.


