Israel issues tender for 2,167 housing units in E1 settlement expansion near Jerusalem

Israel has issued a tender for 2,167 housing units in the E1 settlement zone near Jerusalem, bringing the project's total to 3,401 planned homes. The move, scheduled for bidding on October 25, 2026—just two days before Israel's parliamentary election—has drawn fierce condemnation. Palestinian President Mahmoud Abbas declared the tenders a violation of international law, while critics warn the project will bisect the West Bank and isolate East Jerusalem, effectively rendering a contiguous Palestinian state impossible.

E1 settlement tender expansion

• ▪The newly announced tender for 2,167 housing units is in addition to a tender for 1,234 units announced at the end of August.
• ▪Israel added a tender for 2,167 housing units to its E1 settlement expansion plan near Jerusalem, bringing the total planned units to 3,401.

Two-state solution viability threat

• ▪Israeli Finance Minister Bezalel Smotrich greenlit the construction of the E1 settlement expansion plan in August 2025, stating that the initiative would bury the idea of a Palestinian state.
• ▪Palestinian Authority President Mahmoud Abbas condemned the E1 tenders on September 17, 2026, stating they violate international law.

Debatable claims

• ▪Israel should halt the E1 settlement expansion project
• ▪International sanctions against Israeli West Bank settlements are justified

Israeli election timing

• ▪The bidding for the E1 settlement tender is scheduled to open on October 25, 2026, two days before Israel's parliamentary election.
• ▪The Israeli rights group Ir Amim stated that the October 25 bidding date demonstrates the government's resolve to create an irreversible reality on the ground before the elections.

UK sanctions on settlements

• ▪The United Kingdom announced sweeping sanctions against illegal Israeli settlements on September 8, 2026, citing the E1 project as a key factor.
• ▪In response to the United Kingdom's sanctions, the Israeli government closed the British consulate in occupied East Jerusalem.

West Bank territorial fragmentation

• ▪The E1 settlement project would bisect the Israeli-occupied West Bank and cut it off from East Jerusalem, fragmenting the land intended for a future Palestinian state.
• ▪The E1 expansion intends to connect Jerusalem and Ma’ale Adumim, scuttling a contiguous Palestinian presence between Bethlehem, East Jerusalem, and Ramallah.