Israel urged to reconsider punishing Palestinians over UN campaign

US and European negotiators have urged Israel to refrain from taking punitive measures against Palestinians if they press ahead with their attempt to win recognition of their state at the United Nations. The Israeli government is considering a range of retaliatory steps, including withholding customs revenues it collects on behalf of the Palestinian Authority (PA) under the Oslo accords. Around 400m shekels (£69m) is forwarded to the PA each month. Some Israeli ministers, including the extreme rightwing foreign minister, Avigdor Lieberman, and the finance minister, Yuval Steinitz, are calling for the money to be withheld. But US and EU diplomats fear this could seriously destabilise the PA and even cause its collapse.
 
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