Bezalel Smotrich’s appointment as Israel’s finance minister in December 2022 marked a significant shift in the government’s approach to settlement expansion in the West Bank. A second-generation settler and longstanding advocate for Israeli control over the area known as Judea and Samaria, Smotrich has substantially increased governmental support for settlements, both financially and administratively.
Since taking office in Prime Minister Binyamin Netanyahu’s coalition, the government has allocated more than £4 billion to settler projects. More notably, Smotrich was also appointed as a second minister within the defense ministry, a move that transferred formal authority over land, planning, and construction in the West Bank from the Israeli military to a civilian settler politician. This shift ended decades of ambiguity regarding who directed settlement policies, consolidating control under Smotrich, who is widely regarded as both a settler leader and a government figure.
The defense ministry established a new Settlements Administration under Smotrich’s oversight, creating a civilian chain of command parallel to the military’s control of security in the West Bank. This body, staffed mainly by settlers, was formalized as a permanent agency in July 2026 and has been instrumental in accelerating settlement activity.
Reports indicate that since Smotrich’s appointment, over 100 new settlements have been approved or retroactively legalized—a stark rise compared to just six approved in the preceding 30 years. Additionally, more than 40,000 new housing units have been authorized, while 185 new outposts, which are generally illegal under Israeli law but often evolve into recognized settlements, remain intact. At the same time, demolition of Palestinian structures in the area has increased by over 50 percent.
One significant yet less publicized development involves the expansion of settler-controlled agricultural land, which increased from 240 to 1,100 square kilometers over four years. Advocates argue that this expansion aims to displace Palestinian communities from their land.
Smotrich’s push to develop the “E1” area—a 12 square kilometer zone northeast of East Jerusalem—has heightened tensions with the United Kingdom and its allies. Following Smotrich’s announcement of construction plans in E1, the UK announced a ban on goods produced in Israeli settlements and services contributing to them. Israel responded by closing the British consulate in Jerusalem, marking one of the most severe diplomatic rifts between the two countries since Israel’s founding in 1949.
Smotrich has been explicit about his intentions regarding settlement expansion. He authored “Israel’s decisive plan” in 2017, outlining a strategy to use settlements to render a Palestinian state unviable. He has publicly described the E1 plan as effectively ending prospects for a two-state solution, framing construction there as a statement against Western countries supporting Palestinian recognition.
Despite his influence, Smotrich has encountered limitations. His desire to declare formal Israeli sovereignty over the West Bank was publicly blocked by then-U.S. President Donald Trump. His relationship with the Israel Defense Forces (IDF) has also been strained; in March 2026, IDF Chief of Staff Eyal Zamir criticized violent settler factions, underscoring tensions between the military and parts of the settler community.
Within the government’s right-wing bloc, Smotrich presents a contrast to Security Minister Itamar Ben-Gvir. While Ben-Gvir is known for provocative public displays, Smotrich is more focused on administrative execution, using his legal background to advance settlement policy through official channels. The two have run together politically in recent elections, with Smotrich as the senior partner, though Ben-Gvir now leads separately.
Polls suggest that Smotrich’s Religious Zionism party barely surpasses the electoral threshold, while Ben-Gvir’s Jewish Strength party is expected to secure a larger share of seats in the next Knesset. Despite uncertain prospects in forthcoming elections, Smotrich’s role in reshaping the West Bank’s settlement landscape is widely regarded as the most transformative by an Israeli minister in half a century, with enduring effects expected regardless of his future political standing.
