Firms Tied to West Bank Settlements Win UK Deals Despite Sanctions

The United Kingdom has awarded 10.7 million pounds in new public contracts to companies linked to illegal Israeli settlements in the occupied West Bank. This development comes despite British government pledges to punish firms that profit from settlement activity in the region.

An analysis of procurement records and corporate disclosures supplied by market intelligence firm Tussell revealed that businesses named by the United Nations over settlement involvement have continued to secure public sector contracts. These actions appear to be in direct breach of international humanitarian law, according to legal experts.

Following a previous investigation highlighting extensive government contracts with settlement-linked entities, Foreign Secretary Ed Miliband announced new powers on September 8 to sanction companies providing services like construction, infrastructure, financing, or real estate for settlement expansion. However, since the announcement, UK public bodies have published details of an additional 18 contracts with companies connected to illegal settlements.

Heidelberg Materials, a multinational building materials firm, has had subsidiaries named in multiple contracts worth millions of pounds, primarily for roadworks and resurfacing. Another major contractor, Motorola Solutions, continues to hold extensive agreements, including a massive network extension with the Home Office. Additionally, Chinese conglomerate Fosun International maintains public sector ties through its subsidiaries.

Public contracts continue flowing to firms tied to West Bank settlements despite new UK sanctions.

Al Jazeera contacted the Cabinet Office and the involved corporate groups for comment. The Cabinet Office previously stated that public authorities decide on supplier exclusions on a case-by-case basis and that procurement should not boycott suppliers unless formal sanctions are in place.

Why it matters

Former Labour leader Jeremy Corbyn criticized the continued allocation of public funds to firms targeted by government policy as outrageous and insulting to the public. The findings highlight a significant gap between official ministerial pledges to penalize companies facilitating illegal settlements and the practical enforcement of public procurement regulations across British government bodies.