Opinion

The Israel-Palestine fund that could build peace from the ground up

Modelled on the Irish experience, it can act as a force-multiplier, making stretched aid budgets go further. Labour was right to support it and the UK should now make it a priority

October 7, 2026 17:24
GettyImages-1752230516.jpg
Getty Images

We just marked the 40th anniversary of the founding of the International Fund for Ireland. Established in the darkest days of the Troubles – more than a decade before the signing of the Good Friday Agreement in 1998 – it was critical to building the new constituencies for peace upon which the political process ultimately rested.

Dubbed the “great unsung hero” of the peace process by Britain’s chief negotiator (and now National Security Adviser) Jonathan Powell, it is unlikely the peace process would have succeeded without it, or endured over the past three decades.

In June the UK – along with Australia and Canada – established a new international fund for Israeli-Palestinian Peace. Championed by the Alliance for Middle East Peace (ALLMEP) and Labour Friends of Israel, it is modelled on the International Fund for Ireland and will prioritise long-term peacebuilding to build new constituencies for peace, and foster the values of trust, empathy and dialogue between Israelis and Palestinians on which a future two-state solution depends. The announcement included a pledge of £3m in initial funding from the three countries.

As in Northern Ireland during the Troubles, years of conflict in Gaza following the October 7 2023 attacks and instability in the West Bank have eroded trust between Israelis and Palestinians. Recent polling shows the most frequently cited obstacle to peace is a lack of trust between Israelis and Palestinians, with 75 per cent of Israelis calling this a “major” obstacle to a lasting peace.

To get more from opinion, click here to sign up for our free Editor's Picks newsletter.

Support the world’s oldest Jewish newspaper