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The United Kingdom plans to announce on Tuesday a trade ban on goods from Israeli settlements in the occupied West Bank, prompting extremist Israeli ministers to call for retaliatory measures, including the expulsion of Britain's ambassador and recognition of Argentine sovereignty over the Falkland Islands.
British Foreign Secretary Ed Miliband is set to make a statement to Parliament outlining a "broad reset" of U.K.-Israel relations, as Prime Minister Andy Burnham condemned the "unacceptable" expansion of Israeli illegal settlements and promised "comprehensive measures."
U.K. Pensions Minister Pat McFadden confirmed the ban would be announced Tuesday, telling Times Radio that the foreign secretary will make a statement to Parliament "later today, and at the heart of the statement is the idea that the U.K., along with many other countries, does not want to see the possibility of a two-state solution in Israel and Palestine being erased."
McFadden said the urgency stemmed from "expanded settlement activity in recent weeks and months."
The planned measures would prohibit trade in goods and certain services from Israeli settlements, including their financing and advertising.
According to The Guardian, the policy shift was accelerated by the advancement of the "E1" settlement project, a corridor Israeli rights groups say is designed to split the northern and southern West Bank. Miliband has called the E1 expansion an "unacceptable and destructive act."
The Independent reported the measures would not adopt the term "genocide" regarding Gaza, though London has kept open the option of joining South Africa's case at the International Court of Justice.
Miliband is also expected to use firmer language than his predecessors on Gaza's humanitarian situation, with reports indicating his statement will say the Israeli military is "placing unnecessary controls" on aid entering Gaza "in the name of security."
The U.K. formally recognized the State of Palestine in September 2025, aligning with more than 140 other U.N. member states.
Burnham spoke with U.S. President Donald Trump on Monday to stress "the importance of the two-state solution," in remarks seen as a reference to the coming measures.
Israeli far-right Finance Minister Bezalel Smotrich called for the immediate expulsion of Britain's ambassador, accusing the British government of antisemitism.
"The British Mandate in the Land of Israel is over," Smotrich wrote on the social media platform X, also claiming the British government was seeking to distract from domestic economic and social problems by targeting Israel.
Israeli far-right National Security Minister Itamar Ben-Gvir called on Israel to sanction Britain and recognize Argentine sovereignty over the Falkland Islands, which are administered by Britain and claimed by Argentina.
"It is time for the State of Israel to officially recognize that the Falkland Islands are occupied Argentine territory, stolen by the British by force from the Argentine people," Ben-Gvir wrote on X, also accusing Britain of exploiting oil resources around the islands.
Ben-Gvir urged Prime Minister Benjamin Netanyahu to recognize Argentine sovereignty over the islands and impose sanctions on Britain "as long as the occupation continues."
Israeli Foreign Minister Gideon Saar had warned last Tuesday that Israel would respond in kind if Britain moved against it.
"If Britain takes action against the State of Israel, Israel will take action against Britain. We have the tools," Saar told Israel's Yedioth Ahronoth daily, responding to a question about possible British sanctions over the E1 settlement expansion.
Florida Republican Congressman Randy Fine separately warned Britain that its companies could face financial penalties under Florida's anti-boycott statutes, which target firms that refuse to do business with Israel.
Fine dismissed the U.K.'s planned measures as a "vanity project in support of Muslim terror" that "could cost them billions of dollars" given Florida's trade relationship with Britain.
"Any company—or nation—that boycotts Israel is boycotted by Florida," Fine said, citing a 2019 case in which he claimed Airbnb reversed a policy restricting listings in occupied territories after determining Florida's anti-boycott rules "would have bankrupted their company."
Israeli rights groups Ir Amim, Bimkom and Peace Now said in August that authorities had issued a tender for 1,234 housing units as part of the E1 project, part of a broader plan envisioning around 3,400 settlement units in the area.
Roughly 750,000 Israeli settlers live in settlements and outposts across the occupied West Bank, including East Jerusalem, reports place the total number of settlements and outposts at either 156 settlements and 360 outposts or 516 combined, depending on the source, and have carried out near-daily attacks aimed at displacing Palestinians from their land, according to Palestinian figures.
U.N. data cited in reporting on the U.K.'s policy shift found settler violence reached "unprecedented levels" in 2026, with more than 1,400 attacks resulting in casualties or property damage documented so far this year.
The U.K., along with the U.N. and most governments, considers Israeli settlements in the West Bank illegal under international law and regards the territory as under Israeli military occupation. Israel disputes this characterization, describing the West Bank as disputed rather than occupied territory and asserting a historical claim to the land.
Burnham, in office since July, has taken a tougher line on Israel than his predecessor, apologizing in July for what he called the Labour Party's initial mishandling of its response to Israel's actions in Gaza.
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