UK, France and Canada impose trade bans on Israeli settlement goods

On September 8, 2026, Britain, France, and Canada announced a coordinated ban on imports of goods produced in Israeli settlements located in the occupied West Bank. The move, aimed at supporting a two-state solution and opposing settlement expansion, follows a shift in British foreign policy under Foreign Minister Ed Miliband. France joined the initiative citing increasing settler violence and the necessity of preventing further regional instability, noting that 11 other countries have committed to similar measures despite a lack of consensus within the broader European Union.

In immediate retaliation, Israel announced the closure of Britain’s consulate in East Jerusalem, which serves as the diplomatic mission to the Palestinian Authority. Israeli Foreign Minister Gideon Saar condemned the trade restrictions as interference in sovereign affairs and declared that Britain will no longer participate in a U.S.-led coordination mission for Gaza. Furthermore, Israel imposed entry bans on select British officials and nationals. While the economic impact on the £6 billion annual bilateral trade between the UK and Israel is expected to be minimal, the diplomatic fallout marks a significant escalation in tensions ahead of Israel's upcoming elections in late October.