The Labor Party is up in arms over promises made by Likud leaders over the Passover holiday to expand investments in Jewish settlements in the administered territories. Pledges to that effect, especially by Foreign Minister Yitzhak Shamir to Gush Emunim activists in Hebron Sunday, may trigger a new confrontation between the unity coalition government partners.
Labor and its allies in the government made clear that they will not permit Likud to return to the days when “money was poured into the settlements at the expense of development towns” in Israel. Statements by Housing Minister David Levy and Minister of Commerce and Industry Ariel Sharon indicated that this was Likud’s aim.
Amnon Rubinstein, the Minister of Communications, pointed out Tuesday that the coalition agreement specifically banned the creation of a Jewish settlement in the West Bank Arab town of Hebron. The expanded Jewish presence in Hebron was enthusiastically hailed by Shamir. Rubinstein said he would raise the issue when the Cabinet next convenes and would insist that it reaffirm the original position.
Gad Yaacobi, Minister of Economic Planning, said he would ask the Cabinet to investigate reports that the Treasury, controlled by Likud, plans to grant tax reductions only to settlements which have received such reductions for less than 10 years. That would include the bulk of the settlements established during the Likud regime from 1977-1984.
Yaacobi charged this was a transparent attempt to grant benefits to new settlements in the territories instead of to the financially troubled development towns.
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