Israel signs off on disputed West Bank settlement expansion

Dan Williams, Bloomberg News on Aug 21, 2025

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Israel gave final approval to a controversial project to expand settlements in the West Bank, billed as dashing hopes of Palestinian statehood.

A planning committee signed off Wednesday on the construction of 3,400 homes in a wedge of land east of Jerusalem known as E1. This will effectively bisect the West Bank by connecting the area to the large nearby settlement of Ma’ale Adumim.

Plans for new West Bank settlements come alongside growing calls for the recognition of a Palestinian state, with the push gaining traction as Israel prepares to deepen its grip on Gaza. It already holds three quarters of the territory after a military campaign now stretching for 22 months.

“A Palestinian state has been wiped off the table, not with slogans but with actions,” Israeli Finance Minister Bezalel Smotrich said Wednesday. He also oversees settlements within the defense ministry.

The move was condemned by the United Nations, European Union and some Israeli rights groups, who see it as a further violation of international law — most world powers deem West Bank settlements to be illegal. The U.S. has sidestepped the issue, saying the priority is to help Israel win the war in Gaza against Hamas.