The United Kingdom government is defending its decision to ban trade with Israeli settlements in the occupied West Bank, a move that has prompted retaliatory actions from Israel, including the closure of the British consulate in east Jerusalem and the barring of 11 British lawmakers from entering the country.

British Foreign Secretary Ed Miliband expressed disappointment with Israel's response but affirmed the decision was correct. "I regret what the Israeli government has announced, but I’m proud of what we did yesterday and it was the right thing to do," Miliband told Sky News. He characterized actions by some settlers as "ethnic cleansing" of Palestinians, citing instances of homes being bulldozed, infrastructure destroyed, and families displaced.

Israel's Foreign Minister Gideon Saar condemned the U.K.'s move as "despicable." In response, Israel announced it would expel U.K. representatives from a joint military center monitoring the Gaza ceasefire and halt the training of the Palestinian Authority’s security forces in the West Bank. Saar also stated that entry would be denied to British lawmakers and citizens involved in "antisemitic and anti-Israel activity."

The U.K.'s new policy, which will take effect within nine months, prohibits the import of all goods from settlements and bars companies from providing services, including financing, construction, and advertising, to these settlements. This tougher stance follows similar statements from France and Canada indicating intent to take action against expanding settlements and growing violence that could impede the establishment of a future Palestinian state.

Miliband noted that Denmark, Finland, Iceland, Poland, Portugal, and Sweden have pledged to "support further action." Additionally, the Netherlands, Ireland, Belgium, Spain, and Norway have either banned or are in the process of banning goods from settlements.

Britain has also tightened its embargo on weapons sales to Israel, expanding it to include arms that "materially contribute to the occupation" of Palestinian territories for use in Gaza.

While the economic impact of the ban is expected to be limited due to the settlements' small volume of exports, the decision carries significant symbolic weight. It signals growing isolation for the Israeli government, particularly under Prime Minister Benjamin Netanyahu's ultranationalist government, which views the West Bank as its historical homeland and opposes the creation of a Palestinian state. The international community widely considers settlement construction in the West Bank, seized by Israel in 1967, to be illegal. Britain and other nations have specifically voiced concerns about the E1 settlement project, which Israel approved and critics say would effectively divide the West Bank.

The period has seen increased attacks by settlers on Palestinians, evictions, Israeli military operations, and Palestinian attacks on Israelis.