Britain's settlement sanctions fail to block Netanyahu bloc

Exit polls from Israel's October 27 general election indicate that Benjamin Netanyahu's bloc did not secure the 61 seats required for a parliamentary majority. However, his coalition received more total votes than the opposition camp. Likud outperformed Gadi Eisenkot's Yashar party, which pre-election surveys had predicted would be a stronger contender.

The results arrive weeks after British Foreign Secretary Ed Miliband announced new measures targeting Israeli settlements. The package includes an import ban on settlement goods and restrictions on specific individuals and companies involved in settlement expansion. London maintains that these rules target settlement activity specifically, rather than the state of Israel within internationally recognized borders.

Miliband made the announcement on September 8, a date that placed the new sanctions just weeks before the Israeli vote. He addressed concerns in Parliament that the timing would influence the election. Miliband stated that Britain was not trying to interfere in the vote and that its quarrel was with the policies of the Netanyahu government, not the Israeli people.

A report by The Spectator, later cited by Globes, alleged that British diplomats and intelligence officials warned the government that the announcement risked affecting Israeli politics. The report claimed Israeli Foreign Minister Gideon Sa'ar had asked Miliband to delay the measures until after the election. Some British officials reportedly agreed that waiting was the better option.

Sa'ar reacted to the September 8 announcement by accusing the UK of blatant interference in a sovereign state's affairs. He described the move as an unacceptable attempt to exert external influence during an active campaign. Likud members used the sanctions to argue that foreign governments were hostile to Israel, while opponents argued the measures reflected the cost of Netanyahu's approach to the West Bank.

The new measures follow earlier sanctions imposed in June 2025 on National Security Minister Itamar Ben-Gvir and Finance Minister Bezalel Smotrich. That earlier round was coordinated with Australia, Canada, New Zealand, and Norway. The September 2026 steps represent a continuation of deteriorating relations rather than a single isolated diplomatic event.

The British government states its goal is to restrict economic activity supporting settlement expansion and preserve the possibility of a two-state solution. The immediate impact of the sanctions on the election outcome remains unproven by the available electoral figures. The next step is the implementation of the import bans and the assessment of their effect on settlement activity.