By Eniola Amadu
The Scottish government has announced it will no longer provide grants, investment, or trade support to arms companies whose products are supplied to the Israel Defence Forces (IDF), in a move First Minister John Swinney described as a moral obligation in light of the humanitarian crisis in Gaza.
Addressing the Scottish Parliament on Wednesday, Swinney said defence contractors seeking financial assistance in Scotland must now demonstrate that their products will not be used by Israel.
He stressed that governments worldwide must act urgently in response to what he called “plausible evidence of genocide.”
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“The scale of suffering in Gaza is unimaginable,” Swinney declared. “Nobody can ignore it. We must confront this crisis with urgency, compassion, and an unwavering commitment to accountability.”
He added that he had instructed Scottish Enterprise, the Scottish National Investment Bank, and relevant government departments to halt new financial support for firms that fail to comply with the new rules.
Research by The Ferret revealed that since January 2022, Scottish Enterprise has awarded at least £2.75 million to major defence firms Raytheon, Thales and Leonardo — all of which produce weapons systems used by the IDF, including guided missiles, drones and the F-35 fighter jet.
The policy also freezes support for non-military trade with Israel. Swinney further urged the UK government to withdraw from its trade agreement with Israel, while backing international legal action against alleged war crimes in Gaza.
However, the UK government criticised the decision as contradictory, noting that Scotland had simultaneously lifted restrictions on support for arms manufacturers supplying Ukraine.
Critics also pointed out that companies such as BAE Systems supply both Ukraine and Israel with equipment.
Despite this, the Scottish government confirmed that apprenticeships and skills programmes funded through defence contracts would not be affected.
Officials insisted the focus was strictly on halting financial aid for companies directly linked to weapons used in Gaza.
Jamie Livingston, head of Oxfam Scotland, said: “Gaza is being turned into a graveyard before our eyes: history will ask if leaders did everything they could to stop it. The First Minister has committed to act; Westminster must do the same.”
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Meanwhile, a UK government spokesperson said London had already suspended licences for certain military exports to Israel but maintained exceptions for the global F-35 programme.
The spokesperson added that the UK would continue to work with allies towards a two-state solution and support Palestinian statehood.