British foreign minister Ed Miliband on Monday urged companies and individuals not to proceed with bids for the E1 West Bank settlement project, warning those involved in the construction of illegal settlements could face sanctions.
"We urge businesses and individuals not to proceed with bids for E1 construction tenders," Miliband said in a statement. "They should be aware of legal and reputational consequences, including the risk of involving themselves in serious breaches of international law."
E1 is a largely undeveloped area between Jerusalem and Ma’aleh Adumim. Its location has made it one of the most disputed construction projects in the West Bank.
Many Western states and campaign groups have opposed the project over concerns that it could undermine a future peace deal with the Palestinians.
Contractors warned on deadline to submit bids for E1 tender
Last month, the Jerusalem District Court allowed a tender for 1,234 homes in the E1 area to move forward, but did not decide whether the underlying construction plans are legal.
Contractors have until the end of the day on Monday to submit bids for the project. Their proposals must then be examined, winners selected, and building permits obtained before work can begin.
Sarah Ben-Nun contributed to this report.