British Prime Minister Andy Burnham is confronting a potential conflict between approving a major domestic oil project and maintaining sanctions against companies supporting Israeli settlements in the West Bank.
The Rosebank oil field, located off Shetland, represents Britain’s largest untapped oil resource. Ithaca Energy, which holds a 20% stake in the project, is controlled by Delek Group, an Israeli company that was included in a United Nations database documenting firms allegedly providing services to support settlements in occupied Palestinian territories. Environmental campaigners and political figures have raised concerns that approving Rosebank could contravene sanctions announced by Foreign Secretary Ed Miliband last month targeting companies and individuals providing infrastructure or services related to settlement expansion.
Campaign groups including Stop Rosebank, Greenpeace, and Uplift have written to Burnham and Miliband requesting clarification on whether Delek Group would fall under the new sanctions regime. Green Party leader Zack Polanski has separately questioned whether the government would ensure North Sea oil revenues do not finance illegal settlements. Uplift has asked the government to confirm whether Delek will be affected by the planned measures or to explain how approval would align with stated sanctions objectives.
Delek Group disputes its UN listing, stating the company has no current involvement in Israeli settlements and intends to challenge the database inclusion formally. Ithaca Energy emphasized its status as a London Stock Exchange-listed company with strong governance standards and significant contributions to UK energy security and tax revenues.
The Rosebank decision carries wider political implications. The project was previously approved by the Conservative government in 2023 but was successfully challenged in court by campaigners. The decision now rests with Energy Secretary Miatta Fahnbulleh and is viewed as indicative of Burnham’s broader energy policy direction. President Trump has previously pressured UK leaders to increase North Sea drilling, though the US administration has declined to adopt similar West Bank sanctions.
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