Israel has warned it may sever crucial security and intelligence cooperation with Britain if Sir Keir Starmer proceeds with plans to recognise Palestine as a state at the UN General Assembly in September.
Diplomatic sources revealed that Prime Minister Benjamin Netanyahu is considering withdrawing critical intelligence sharing that has helped thwart numerous terrorist attacks on British soil, including an alleged Iranian-backed plot against Israel’s London embassy that led to the largest counter-terrorism raids in the UK in recent years.
The warning represents a significant escalation in tensions between the longtime allies and could have far-reaching implications for Britain’s national security.
Decades of Intelligence Partnership at Risk
Israel’s Mossad spy agency has been instrumental in providing British intelligence services with vital information that has saved countless lives through the prevention of terrorist attacks on UK soil.
One official warned that Britain and other countries considering diplomatic recognition, including France and Canada, should “carefully consider” the consequences of their actions.
“London needs to be careful because Bibi [Netanyahu] and his ministers have cards they could play too,” a diplomatic source told The Times. “Israel values its partnership with the UK but recent decisions mean it is coming under pressure and the UK has a lot to lose if Israel’s government decides to take steps in response.”
The intelligence cooperation has been particularly crucial in countering Iranian threats. Most recently, Mossad intelligence helped British authorities foil an alleged Iranian-linked terror plot targeting the Israeli embassy in London, leading to the arrest of eight suspects, including seven Iranian nationals, in May 2025 – one of the largest counter-terrorism operations in recent UK history.
Netanyahu’s Fierce Response
The Israeli Prime Minister publicly condemned Sir Keir’s announcement last week, accusing him of “rewarding Hamas’s monstrous terrorism and punishing its victims.
“A jihadist state on Israel’s border today will threaten Britain tomorrow. Appeasement towards jihadist terrorists always fails. It will fail you, too. It will not happen,” Netanyahu declared in a strongly-worded statement.
Israel’s Foreign Ministry similarly described the UK’s plan as a “reward for Hamas” that would “harm efforts to achieve a ceasefire in Gaza and a framework for the release of hostages.
Starmer’s Conditional Recognition
Sir Keir announced on 29 July that Britain would recognise Palestine at the UN General Assembly in September unless Israel takes “substantive steps” including:
- Ending the “appalling situation” in Gaza
- Agreeing to a ceasefire
- Committing to a long-term peace process and two-state solution
- Allowing the UN to restart aid supplies
- Making clear there will be no annexations in the West Bank
The Prime Minister said the situation in Gaza had become “intolerable” and urged Israel to “take immediate action to lift all restrictions on aid access and get those suffering in Gaza the food they need.
Foreign Secretary David Lammy defended the decision at the UN, stating: “The Netanyahu government’s rejection of a two-state solution is wrong — it’s wrong morally and it’s wrong strategically.
Security Implications
The potential loss of Israeli intelligence cooperation could have serious ramifications for UK security. Intelligence experts note that Mossad has provided crucial information on:
- Iranian terror plots on British soil
- Potential attacks against Jewish and Israeli targets in the UK
- Broader Middle Eastern threats that could impact British interests
The Times reported that deterioration in UK-Israel security cooperation could damage both countries. Beyond intelligence sharing, the UK utilises Israeli-made surveillance drones in military operations, whilst Israel receives spare parts for its F-35 fighter jets from Britain.
Hamas Welcomes British Move
Adding to Israeli concerns, the terrorist group Hamas, which is still holding Israeli hostages seized during the October 2023 attacks, welcomed Sir Keir’s announcement.
A senior Hamas official said the British position meant “victory and liberation are closer than we expected,” whilst a former minister in the Hamas government added that “international support for Palestinian self-determination shows we are moving in the right direction.”
International Context
Britain’s move follows a similar announcement by French President Emmanuel Macron, who declared France would recognise Palestine at the September UN meeting. Canadian Prime Minister Mark Carney subsequently announced Canada would also recognise Palestinian statehood.
If Britain and France proceed, the United States would be the only permanent member of the UN Security Council not to recognise a Palestinian state. More than 140 countries, including several in Europe, already recognise Palestinian statehood.
US President Donald Trump, who met with Sir Keir in Scotland shortly before the announcement, said he had not discussed the decision with the British leader but indicated he was “okay” with allies having different positions.
Divided Israeli Response
Whilst Netanyahu’s government has reacted furiously, Israeli officials appear divided on whether to follow through with the threat to sever security ties.
Some government members warn that such a move would harm Israel’s economy and end vital British military support, particularly efforts to locate Israeli hostages still held in Gaza. The bilateral trade partnership is valued at £6 billion ($7.9 billion) and supports thousands of jobs on both sides.
However, others within Netanyahu’s coalition argue that strong action is necessary to deter other nations from following Britain’s lead in recognising Palestine outside of a negotiated peace process.
As the September deadline approaches, the stakes for both nations – and the broader Middle East peace process – continue to rise. Whether Israel will follow through on its threat to cut security ties remains to be seen, but the warning underscores the deepening rift between the longtime allies over the Palestinian question.
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