The threat of diplomatic expulsions is deepening tensions between Israel and the United Kingdom, even as both governments seek to preserve dialogue and contain the fallout, diplomatic sources told Al-Monitor.

Israel’s Oct. 8 decision to end the British Consulate General’s operations in East Jerusalem — in retaliation for London’s ban on imports from Israeli settlements in the occupied West Bank — has pushed bilateral ties to a new low. Yet a last-minute agreement, announced Thursday, will allow seven British diplomats to remain in the building, which has been renamed the UK Mission, Jerusalem, preserving a diplomatic foothold amid the escalating dispute.

Israel has long viewed the UK as a key ally, seeking to deepen diplomatic, economic and security ties following Brexit. This partnership advanced through a 2019 trade agreement and a 2021 strategic partnership memorandum covering cyber, tech and defense cooperation.

Following the Oct. 7, 2023, Hamas attack, then-UK Prime Minister Rishi Sunak visited Israel on Oct. 19 to express solidarity and affirm its right to self-defense under international law.