Former justice minister warns Occupied Territories Bill could cause 'enormous damage' to economy

Olivia Kelleher

Former justice minister Alan Shatter has claimed that the Occupied Territories Bill could cause “enormous damage” to the economy in this country if enacted.

The Israeli Settlements in the Occupied Palestinian Territory ( Prohibition of Importation of Goods) Bill 2025 seeks to ban the trade of goods with illegal Israeli settlements.

Last month Tánaiste Simon Harris said he hoped the action being taken by Ireland will inspire other countries to do the same. He argued that the legislation would help “contribute to long-term efforts to achieve a sustainable peace on the basis of the two-State solution.”

Consideration of the bill will resume at the Oireachtas Committee of Foreign Affairs on Tuesday.

Former Fine Gael politician, Alan Shatter, told Newstalk Breakfast that the legislation could have unintended consequences.

“I know from my past experience as a member of the Dáil for over 30 years, that when there’s a political consensus across all parties, the difficulty is that critical faculties are suspended.

“Rather than this bill in any way remotely contributing to resolving the tragic, ongoing Israel-Gaza war, or to resolving ongoing Israeli-Palestinian conflict.

“It’s really a Father Ted-like provision; of no relevance of any description for resolving conflict between Israelis and Palestinians.

“It does have the potential to do enormous damage to Ireland, to our economy, to our reputation.”

Mr Shatter said that that the legislation would make Ireland “utterly and completely irrelevant” in relation to any talks about conflict resolution in the region.

He stressed that there are “minimal imports” into this country from the West Bank and East Jerusalem.

“The bill indicates that with respect of the Irish Government, that no Jewish person should reside or work in East Jerusalem or on the West Bank.

“So, this will be the first time, a bill enacted by a European Parliament... specifically targets Jews.

“We haven’t had that since the end of the Nazi regime in 1945.”

Mr Shatter warns that the bill is a “flagrant breach of European Union law” given Ireland’s membership of the Customs Union.

“This is an exclusive area of European Union competence and there are very specific legal positions relating to this - despite all the political rhetoric around it.

“And also, if this bill is enacted, it will seriously impact on the post-Brexit arrangements for the free movement of goods between the Republic of Ireland and Northern Ireland.”