Hackney (Parliament Politics Magazine) – Hackney council meeting turns heated as accusations of ‘blood money’ funding staff pensions spark controversy and debate.
An emergency meeting was called by Hackney‘s Green and Independent opposition groups to urge the council to “cut all ties with Israel’s genocide.”
The Labour-run council has been under constant pressure to act since the start of the Israel-Hamas war in Gaza because of Israel’s actions, which a UN commission of investigation determined in September amounted to genocide.
Pro-Palestine organizations demanded in Thursday’s motion that Hackney end its twinning relationship with Haifa and pledge to “immediately start the process” of removing companies that profit from Israel’s war in Gaza and its continued occupation of Palestinian territories, which is widely regarded as unlawful under international law.
Instead, Caroline Woodley, the mayor of Hackney, filed an amended motion that removed any mention of cutting all connections and promised to keep “exploring options” regarding divestment. Hackney Council has long maintained that it is prohibited by law from independently selling off companies such as Haifa-based Elbit Systems.
Throughout the short but boisterous debate, which Labour had written off as a “political stunt,” tensions were high. One Labour defector denounced the altered motion as “delaying clauses disguised as moral outrage,” while the ruling party accused the groups of “wasting taxpayer money” and causing discord.
As several councils in England have promised to stop investing in firms that provide armaments to nations like Israel, calls for Hackney to divest have intensified. Although the chair of Hackney’s pension committee had earlier criticized those activists for “jumping on the bandwagon,” Mayor Woodley declared in September that she would take “further steps towards divestment” following the UK’s official recognition of the State of Palestine.
The Green and Independent group criticized the Labour government for “providing cover for the genocide of Palestinians” and claimed that this pledge was “full of warm words but light on action.”
Cllr Claudia Turbet-Delof, who tabled the original motion, said residents had “had enough of technical excuses” around divestment and accused the council of spreading “myths” about its fiduciary duty. She reminded the chamber that the council had divested from Russian assets after the 2022 invasion of Ukraine.
“This is not not time for exploring but time for leadership,”
she said.
“This is about humanity.”
The arrangement has been “inactive” since before the Covid-19 epidemic, according to the council on multiple occasions. Penny Wrout, a labor defector, claimed that the lasting connection was equivalent to endorsing “apartheid” South Africa. She remarked,
“I don’t care if it’s inactive”.
The “non-political, non-sectarian and multi-faith” partnership was not immediately terminated by the council at the time. The Town Hall promised not to “engage in any twinning activity where conflict is ongoing, including in Haifa” last night, rejecting requests to de-twine once more.
What responses did councillors or council officers give on funding?
During the East London council meeting, councillors and council officers responded by emphasizing ongoing efforts to address ethical enterprises around pension fund investments. They conceded public perceptivity about investments linked to conflict zones and prompted tolerance as the council engages with fund directors to divest from companies associated with breaches of transnational law.
Council representatives stressed that pension finances are managed inclusively through London’s larger pooled investment vehicles, which complicates rapid-fire divestment but ensures professionalism and oversight. They committed to maintaining translucency by streamlining councillors and residers regularly on progress in aligning investments with ethical norms similar as the UN Genocide Convention.
Some councillors defended the fiscal necessity of the pension fund strategy, noting the need to balance fiscal returns with social responsibility.