PM warned Rosebank oil field could breach West Bank sanctions

Breaking news from the markets: PM warned Rosebank oil field could breach West Bank sanctionsImage source, ReutersImage caption, A long-awaited decision on the Rosebank oil field is expected soonByJack Fenwick, Political correspondent and Susan Hulme, Political correspondentPublished1 October 2026The prime minister has been warned that approving a controversial oil field risks contravening his own sanctions on illegal Israeli settlements in the West Bank. The government will soon have to make a long-awaited decision on whether to go ahead with Rosebank, Britain's largest untapped oil field, which sits off Shetland. Environmental campaigners and Green Party leader Zack Polanski have both separately written to Andy Burnham and the foreign secretary to raise concerns about Rosebank's links to an Israeli company, Delek Group.

Last year Delek Group was included in a UN database of firms which allegedly provide services or utilities to support settlements in occupied Palestinian territories. A spokesman for the company told the Daily Telegraph, external it no longer had any involvement in Israeli settlements and was wrongly included in the database. Delek Group controls Ithaca Energy, which holds a 20% stake in Rosebank.

Economic Details

The campaign group Uplift, whose legal challenge against the Rosebank project in 2023 led to the ongoing delay over a decision on exploration, has helped organise a letter to Burnham and Foreign Secretary Ed Miliband. In a letter seen by News, campaigners from Stop Rosebank and Greenpeace, with assistance from Uplift, have asked the government to clarify whether Delek will fall foul of the sanctions announced last month. Separately, Polanski has also written to Miliband, asking what steps the government would take to make sure revenue from UK oil and gas production did not finance illegal settlements.

He said: "Rosebank is a test of whether Labour's proposed sanctions regime is fit for purpose. "Companies blacklisted by the UN for operating in the illegal settlements should not be financed by oil and gas revenues from the North Sea. "What is happening with the Rosebank and Jackdaw oil and gas fields?

Published17 AugustUK announces sanctions on West Bank settlements prompting furious Israeli response Published9 SeptemberLast month, Miliband signalled a hardening of the UK's position when he announced action against companies and individuals who provide services such as infrastructure to settlement expansion. The UK sanctions will also ban imports of goods from illegal settlements. In its letter to Burnham, Uplift asked him to "confirm, unequivocally, whether Delek will be caught by the new planned measures".

They added: "If it is not, please explain how that is consistent with the government's stated intent to sanction those who finance or facilitate illegal settlements?

Economists are analysing what the news means for the markets.