UK Prime Minister warned Israeli settlement sanctions could trigger trade war with Trump - report
The British government is reportedly preparing sanctions against Israeli settlements in response to the construction project in the E1 area of the West Bank
British Prime Minister Burnham has reportedly been warned that proposed sanctions on Israeli settlements in the West Bank could provoke a trade dispute with US President Donald Trump, according to The Times.
Labour MPs are said to have cautioned Burnham that Washington could retaliate against the United Kingdom if his government bans trade in goods and services linked to Israeli settlements.
The proposed sanctions would come in response to plans to build approximately 1,200 homes in the E1 area of the West Bank, also known as the West Bank.
Burnham is reportedly preparing a “robust” package of measures against the settlements. More than 140 Labour MPs have called for a trade ban covering both goods and services—measures that would go further than those introduced by several other European countries.
The United States criticized similar Irish legislation last month, describing it as “counterproductive” and warning that it could have unintended consequences for hundreds of companies.
Trump has also threatened trade measures against Spain. In 2025, Madrid banned imports from Israeli settlements amid tensions with Washington after refusing to allow US forces to use Spanish military bases for operations involving Iran.