UK warns firms and individuals against bidding for Israel’s E1 settlement project, saying participants could face sanctions

British Foreign Secretary Ed Miliband on Monday urged companies and individuals not to bid for Israel’s E1 settlement project in the occupied West Bank, warning that those involved in building what Britain considers illegal settlements could face sanctions.

“Today is the deadline for bids for the E1 settlement tender,” Miliband said in a statement on October 19. “I want to be very clear with those considering engaging in the tendering process: we have created new powers allowing us to sanction individuals and companies involved in the construction of illegal settlements such as E1.”

The British government says the E1 project threatens the viability of a two-state solution because it would cut across the West Bank and risk separating it from East Jerusalem. London has repeatedly called on Israel to halt the plan and withdraw the tender.

The latest warning follows measures announced last month that give the UK new powers to target individuals and companies that support, facilitate or profit from illegal settlement activity in the occupied Palestinian territories.

Israel launched the E1 tender in August for more than 1,200 housing units. Britain, France, Germany and Italy have all opposed the project, arguing that it would undermine prospects for a contiguous Palestinian state.