Israeli soldiers conduct a raid in the Al Ain camp for Palestinian refugees, west of Nablus. AFP
Israeli soldiers conduct a raid in the Al Ain camp for Palestinian refugees, west of Nablus. AFP
Israeli soldiers conduct a raid in the Al Ain camp for Palestinian refugees, west of Nablus. AFP
Israeli soldiers conduct a raid in the Al Ain camp for Palestinian refugees, west of Nablus. AFP

What cards can UK play as frustration with Israel deepens?


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For weeks politicians from Britain and France have repeatedly urged Israel to halt its renewed deadly campaign in Gaza and reverse its blockade of humanitarian aid.

But their pleas have been ignored, and now amid the counsel of despair in London and Paris there are growing moves to land a massive blow on Israel – to force it to listen.

The anger is such in Whitehall that consideration is being given to sanctioning the far-right Israeli cabinet ministers Bezalel Smotrich and Itamar Ben-Gvir over their activities in the occupied West Bank, western officials have told The National.

In addition, an even more stringent arms embargo could be enforced as part of a package that could be jointly introduced with France before the end of this month. If that is not enough, the British government is “very seriously considering” recognition of Palestine.

The Israelis "have just totally stopped listening”, the source said. “The only options left to the UK government are to look at sanctions or even recognition [of a Palestinian state]. Nothing else seems to cut through.” The UK’s Labour government has also been heavily criticised by its own MPs for failing to take decisive action over Israel’s attacks on Gaza and denial of humanitarian aid to Palestinians.

The Foreign Affairs Committee's inquiry into Israel-Palestine will seek more clarity from the government on what its options are to pressure Israel and bring about a peaceful settlement. "We may find ourselves in a position where we don’t agree but at least know what the options are," said committee chairwoman Emily Thornberry.

As the threat looms of Israel taking control of the West Bank, Ms Thornberry urged the government to think about what it could do to prevent this. "What will we do about annexation? It won’t be enough to condemn it afterwards," she told The National.

Tensions rose further after two Labour MPs, including the UK's first MP of Yemeni origin Abtisam Mohamed, were denied entry into Israel last week, prompting criticism from Foreign Secretary David Lammy, who described the move as "unacceptable, counterproductive and deeply concerning". On Monday, Ms Mohamed told the Commons: "This act was not just a diplomatic affront. This wasn’t about security. It was about control and censorship.”

On Monday evening more than 70 parliamentarians, including Cabinet ministers, staged a photocall as a show of solidarity with Ms Mohamed and fellow Labour MP Yuan Yang.

Members of the UK Parliament gather to show support for Labour's Yuan Yang, centre left, and Abtisam Mohamed, centre right, at the Houses of Parliament in London. PA
Members of the UK Parliament gather to show support for Labour's Yuan Yang, centre left, and Abtisam Mohamed, centre right, at the Houses of Parliament in London. PA

Labour MP Sarah Owen said: “It’s regrettable that the Israeli government are now acting with impunity. They seem to be accountable to no international law, enabled by the US President, they continue to bomb hospitals and schools, killing aid workers and thousands of Palestinian civilians."

In a statement in the Commons, Foreign Office minister Hamish Falconer said all MPs should “be worried” by Israel's decision to refuse entry to British MPs.

Mr Falconer said: “On the position of the Israeli government, they do have the right to decide who enters Israel, as indeed do we. On this occasion, the two Members of Parliament were given clearance to enter and so it was known to the Israeli government before they arrived at the airport that they would be travelling."

Pro-Palestinian demonstrators in London in March. EPA
Pro-Palestinian demonstrators in London in March. EPA

French liaison

Mr Lammy and his French counterpart Jean-Noel Barrot have in recent weeks had “regular” discussions about Israel, including about Palestinian recognition, the western official said. “They are definitely in joint discussions and Israel is very much on the agenda,” the source said, while refusing to go into details.

Mr Lammy and Mr Barrot have a very good relationship based on “a shared understanding on the big issues”, particularly on Iran, Ukraine and Israel, the source added. Of all the relationships between G7 countries' foreign ministers, it is understood Mr Lammy and Mr Barrot's bond and mutual understanding is the strongest.

London cancelled, Paris visited

France and Britain have been discussing a joint timetable for Palestinian state recognition, along with other European countries, and a co-ordinated approach would shield the UK from a unilateral decision, said Dr Sanam Vakil of the Chatham House think tank. Official recognition of Palestine would cause severe ructions between Israel and France and the UK, which are considered allies of the state.

“It will put pressure on Israel not just for a ceasefire, but to start thinking about a longer horizon that is connected to statehood, so this is actually going to bring momentum back to the issue of the war and how it ends,” said the director of the Middle East and North Africa Programme.

Mr Lammy has frequently stated that recognition would only come when a two-state solution has been agreed between Israel and Palestine.

But during appearances in parliament in recent weeks he has appeared increasingly frustrated at Israel’s intransigence on Gaza aid and the looming seizure of the occupied West Bank. This was further undermined when Israel’s Foreign Minister Gideon Saar cancelled a visit to London last month, with little explanation.

Perhaps detecting the increased antipathy in western Europe, Mr Saar arrived in Paris on Thursday for a meeting with Mr Barrot. Following their discussions Mr Saar tweeted that Israel and France had “a long-standing friendship, back to our state’s early days” and that they held a “good and productive meeting about Lebanon, Syria, Hamas and our hostages”.

France’s Foreign Ministry set out a different picture, stating that Mr Barrot had raised his “concerns over the resumption of Israeli military operations which have caused many civilian casualties” and that he “condemned” attacks on humanitarian staff. It said he had also called for a “credible plan” for the “day after” peace finally comes to Gaza.

Saudi Arabia's King Salman with US President Donald Trump on his trip to the kingdom in 2017. Reuters
Saudi Arabia's King Salman with US President Donald Trump on his trip to the kingdom in 2017. Reuters

Washington response

While it would probably infuriate Washington, Britain’s prominent diplomatic standing could mean that recognition would prompt more international discussion. “UK recognition of Palestinian statehood would invigorate regional support as regional states feel frustrated that there has not been adequate momentum coming from the international community,” Dr Vakil said. “It would prompt a more international discussion on the day after, what comes next?”

The move would not come without risk as it would accelerate tensions between the Trump administration and the British Government, particularly over the tariff dispute. But the UK government has accepted that “Washington now just shrugs its shoulders over what Israel does”, a Whitehall source said.

However, the Palestinian question will also feature prominently when US President Donald Trump visits Saudi Arabia on the first formal overseas tour of his second term, probably next month.

Israel's Minister of National Security Itamar Ben-Gvir, left, and Finance Minister Bezalel Smotrich. EPA
Israel's Minister of National Security Itamar Ben-Gvir, left, and Finance Minister Bezalel Smotrich. EPA

Minister sanctions

There is understood to be no precedent for sanctions against individual democratically elected cabinet ministers by Britain, yet the idea has been contemplated for some time by the current Labour government.

Mr Ben-Gvir, Minister of National Security, who lives in an illegal West Bank settlement, has made numerous comments about taking control of occupied Palestinian territories. Mr Smotrich, the Finance Minister, has made similar such inflammatory remarks, with both refusing to recognise Palestinian statehood.

“Sanctioning Israeli cabinet members is a significant move but it will hopefully force Israel to think again about what it is doing,” the western official said. Some MPs could begin to pressure the government to review its trade agreement with Israel, and how it is impacted by illegal settlement goods and the lack of labelling, The National understands.

Middle East Minister Hamish Falconer said the UK government continues “to oppose forced displacement in Gaza”. Photo: UK Parliament
Middle East Minister Hamish Falconer said the UK government continues “to oppose forced displacement in Gaza”. Photo: UK Parliament

Labour see red

It was thought that, with US tariffs, Iran and Ukraine, the UK government would wait until the summer to make any moves against Israel. But last week it came under a barrage of attacks from its own MPs in parliament during questions on Gaza.

“What worries me about the government is that it doesn’t seem to have any red lines that Israel can cross,” said Labour MP Paula Barker. “We need robust action, not words,” she added, while calling for Palestinian state recognition.

Another MP, Brian Leishman, asked if the government would recognise the forced evacuations in Gaza “as ethnic cleansing, and if not, why not?”. Middle East Minister Hamish Falconer replied that the government continued “to oppose forced displacement in Gaza” and added that there was a “serious risk Israel is not simply acting in its own legitimate self-defence”.

During the questions Florence Eshalomi, a Labour MP, said: “What more is it going to take before we as a UK government take a different course of action? Because Israel is not listening to warm words any longer.” Mr Falconer could only respond that the world “is moving very quickly” and that he recognised “the strength of feeling in this house”.

The western official said the grim mood among MPs had contributed to the government’s rethink on its Israel policy “in addition to the point that we are just not being listened to at a very senior level”.

Citizenship-by-investment programmes

United Kingdom

The UK offers three programmes for residency. The UK Overseas Business Representative Visa lets you open an overseas branch office of your existing company in the country at no extra investment. For the UK Tier 1 Innovator Visa, you are required to invest £50,000 (Dh238,000) into a business. You can also get a UK Tier 1 Investor Visa if you invest £2 million, £5m or £10m (the higher the investment, the sooner you obtain your permanent residency).

All UK residency visas get approved in 90 to 120 days and are valid for 3 years. After 3 years, the applicant can apply for extension of another 2 years. Once they have lived in the UK for a minimum of 6 months every year, they are eligible to apply for permanent residency (called Indefinite Leave to Remain). After one year of ILR, the applicant can apply for UK passport.

The Caribbean

Depending on the country, the investment amount starts from $100,000 (Dh367,250) and can go up to $400,000 in real estate. From the date of purchase, it will take between four to five months to receive a passport. 

Portugal

The investment amount ranges from €350,000 to €500,000 (Dh1.5m to Dh2.16m) in real estate. From the date of purchase, it will take a maximum of six months to receive a Golden Visa. Applicants can apply for permanent residency after five years and Portuguese citizenship after six years.

“Among European countries with residency programmes, Portugal has been the most popular because it offers the most cost-effective programme to eventually acquire citizenship of the European Union without ever residing in Portugal,” states Veronica Cotdemiey of Citizenship Invest.

Greece

The real estate investment threshold to acquire residency for Greece is €250,000, making it the cheapest real estate residency visa scheme in Europe. You can apply for residency in four months and citizenship after seven years.

Spain

The real estate investment threshold to acquire residency for Spain is €500,000. You can apply for permanent residency after five years and citizenship after 10 years. It is not necessary to live in Spain to retain and renew the residency visa permit.

Cyprus

Cyprus offers the quickest route to citizenship of a European country in only six months. An investment of €2m in real estate is required, making it the highest priced programme in Europe.

Malta

The Malta citizenship by investment programme is lengthy and investors are required to contribute sums as donations to the Maltese government. The applicant must either contribute at least €650,000 to the National Development & Social Fund. Spouses and children are required to contribute €25,000; unmarried children between 18 and 25 and dependent parents must contribute €50,000 each.

The second step is to make an investment in property of at least €350,000 or enter a property rental contract for at least €16,000 per annum for five years. The third step is to invest at least €150,000 in bonds or shares approved by the Maltese government to be kept for at least five years.

Candidates must commit to a minimum physical presence in Malta before citizenship is granted. While you get residency in two months, you can apply for citizenship after a year.

Egypt 

A one-year residency permit can be bought if you purchase property in Egypt worth $100,000. A three-year residency is available for those who invest $200,000 in property, and five years for those who purchase property worth $400,000.

Source: Citizenship Invest and Aqua Properties

Key findings of Jenkins report
  • Founder of the Muslim Brotherhood, Hassan al Banna, "accepted the political utility of violence"
  • Views of key Muslim Brotherhood ideologue, Sayyid Qutb, have “consistently been understood” as permitting “the use of extreme violence in the pursuit of the perfect Islamic society” and “never been institutionally disowned” by the movement.
  • Muslim Brotherhood at all levels has repeatedly defended Hamas attacks against Israel, including the use of suicide bombers and the killing of civilians.
  • Laying out the report in the House of Commons, David Cameron told MPs: "The main findings of the review support the conclusion that membership of, association with, or influence by the Muslim Brotherhood should be considered as a possible indicator of extremism."
Ten tax points to be aware of in 2026

1. Domestic VAT refund amendments: request your refund within five years

If a business does not apply for the refund on time, they lose their credit.

2. E-invoicing in the UAE

Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption. 

3. More tax audits

Tax authorities are increasingly using data already available across multiple filings to identify audit risks. 

4. More beneficial VAT and excise tax penalty regime

Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.

5. Greater emphasis on statutory audit

There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.

6. Further transfer pricing enforcement

Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes. 

7. Limited time periods for audits

Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion. 

8. Pillar 2 implementation 

Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.

9. Reduced compliance obligations for imported goods and services

Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations. 

10. Substance and CbC reporting focus

Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity. 

Contributed by Thomas Vanhee and Hend Rashwan, Aurifer

Updated: April 08, 2025, 11:11 AM