The Israeli ambassador to the UK has told Foreign Office officials not to ‘tell us where to build in Jerusalem’ after she was hauled in by David Lammy over the country’s plans for a settlement project in the occupied West Bank.

‘I wouldn’t tell the British where to build in London‘, Tzipi Hotovely told the Daily Mail on Thursday night. 

‘We see E1 as part of greater Jersusalem’, she added. 

Her remarks come after Foreign Secretary Mr Lammy  condemned Israel‘s controversial settlement plan in the West Bank that would ‘divide a Palestinian state in two’.

Mr Lammy criticised the approval of the E1 project as he warned it would ‘critically undermine’ hopes of a two-state solution to the Middle East crisis.

Settlement development in E1, a tract of land east of Jerusalem, has been under consideration for more than two decades.

This is despite Israeli settlement construction in the West Bank being widely considered as illegal among the international community and an obstacle to peace.

An Israeli defence ministry committee on Wednesday approved plans for around 3,400 homes in E1.

He demanded the Israeli government reverse its decision, claiming – if the settlement plan is implemented – it would represent ‘a flagrant breach of international law’.

Israel’s far-right finance minister Bezalel Smotrich, who was sanctioned by the UK in June, said the idea of a Palestinian state was ‘being erased’ following the approval.

It came as Israeli Prime Minister Benjamin Netanyahu issued a fresh blast at Sir Keir Starmer’s vow to recognise a Palestinian state next month.

Last month, Sir Keir announced the UK would formally recognise Palestine in September before the United Nations General Assembly in New York unless Israel meets certain conditions.

This includes agreeing to a ceasefire in Gaza, making clear there will be no annexation in the West Bank, and committing to a long-term peace process that delivers a two-state solution.

But Mr Netanyahu repeated his claim that Sir Keir was ‘rewarding’ Hamas in the wake of the terror groups attacks on Israel on 7 October 2023.

He told the Triggernometry podcast: ‘They [Hamas] commit the greatest savagery against Jews since the Holocaust, and the Prime Minister of Britain says we will reward you with a de facto state which is committed openly to repeating the October 7 massacre over and over and over again.

‘And they say we recognise Israel’s right to defend itself… as long as Israel doesn’t exercise that right.

‘Let’s imagine, what would be the response of Britain if about 15,000 people would be butchered in one day, and you’d have, I don’t know, 2,500 hostages taken.

‘Would you say, “Oh, well, we should give our attackers a state right next to London?” Of course not.’

He added: ‘The standard that is being applied is not merely wrong, it’s just downright dangerous.

‘Because you’re really rewarding these monstrous terrorists with the greatest prize and that’s because of weakness.’

A two-state solution to the Israeli-Palestinian conflict envisages a Palestinian state in East Jerusalem, the West Bank, and Gaza, existing side by side with Israel.

The UK has opposed the E1 settlement project due to concerns that it could undermine a future peace deal with the Palestinians.

In a post on X/Twitter, Mr Lammy said: ‘The UK condemns the decision by Israel’s Higher Planning Committee today to approve the E1 settlement plan.

‘If implemented, it would divide a Palestinian state in two, mark a flagrant breach of international law and critically undermine the two-state solution.

‘The Israeli government must reverse this decision.’

On Sunday, during a visit to Ofra, another West Bank settlement established a quarter of a century ago, Mr Netanyahu said: ‘I said 25 years ago that we will do everything to secure our grip on the Land of Israel, to prevent the establishment of a Palestinian state, to prevent the attempts to uproot us from here.

‘Thank God, what I promised, we have delivered.’

Mr Smotrich, who unveiled the E1 plans last week, welcomed the approval of the project.

‘The Palestinian state is being erased from the table not with slogans but with actions,’ he said.

‘Every settlement, every neighbourhood, every housing unit is another nail in the coffin of this dangerous idea.’