Amid protests from some Labour MPs, an amendment tabled by former Communities Minister Rob Jenrick has been passed with the government support to stop local authority pension funds from backing BDS sanctions against UK companies connected with Israel.
The move comes on the day Hertfordshire County Council rejected a bid to divest millions from companies linked to Israel and in advance of a BDS vote by Wirral council promoted by expelled Labour councillor Jo Bird.
Changes to the Pensions Service Pensions and Judicial Offices Bill will give the Local Government Secretary new powers to direct Local Government Pension Funds not to make decisions that conflict with government foreign and defence policy.
It comes after the Supreme Court, in May, 2020, overruled a previous attempt by the government to curb BDS in Britain at the end of a four-year legal battle bought by the Palestine Solidarity Campaign.
At the time, the government said it was committed to stopping “local boycotts” from being introduced.
Speaking in the Commons, Mr Jenrick said public sector pensions, paid for by the taxpayer and underwritten by the government, were “quite clearly the preserve of the state” and it was “perfectly legitimate” for the government to have a say in how they were regulated.
He added: “For too long we have seen public pension schemes pursue pseudo foreign policies and all too often the foreign policy of these public pension schemes is I’m afraid, exclusively focused on re-writing the UK’s relationship with the world’s only Jewish state, Israel.
“The latest example of the politicisation of public pension schemes is by Wirral Council who are currently considering releasing almost £5m within investments in seven companies. This pet project of a small minority who seek to hijack the money of hard working taxpayers for their own political ends is of no interest to the public pension holders of the Wirral…”
Branding BDS campaigners a “minority of an extreme and well organised clique” he said: “You don’t have to look very hard to find a pattern of antisemitic behaviour in connection with campaigns promoting a boycott of Israel. Successive studies have shown the single best statistical predictor of anti-Jewish hostility is the amount of BDS activity…”
(full article online)