Finance C’ttee doles out money to haredim, settlements

The Knesset Finance Committee approved a series of budget transfers yesterday, among them of funds allocated to coalition political parties, even though the items concerned were not discussed in the Recess Agreements Committee, the mechanism designed to allow laws and debates to progress during an election period only with the approval of a committee with equal numbers of members from the coalition and the opposition. An appeal against the proceedings of the Finance Committee has been lodged in the High Court of Justice.

The Finance Committee discussed transfers from the education budget reserve to finance allocations to coalition parties amounting to NIS 267 million, for such items as preventing yeshiva students from dropping out (NIS 26 million); raising the subsidy for after-school childcare at state-funded haredi (ultra-Orthodox) schools exempt from the Compulsory Education Law ((NIS 16 million); support for haredi Jewish culture (NIS 12 million); support for Torah institutions operating in the Tekuma (“Revival”) area, i.e., the Gaza Strip border area (NIS 15 million); and the budget of the Association for Promoting State Religious Education in Israel (NIS 30 million).

It was also proposed to transfer coalition funds amounting to NIS 78 million in cash and a NIS 40 million authorization to commit to the Ministry of Heritage for Jewish culture and aid to local authorities in Area C (the Israeli-controlled part of the West Bank), and NIS 5 million to special task forces and the settlements division.

The committee was also asked to approve transfers amounting to hundreds of millions of shekels to various programs. Under the proposals, NIS 800 million will be transferred to the Ministry of Education; grants will be given to local authorities from budget surpluses from the previous year; budgets will be transferred to the Ministry of Settlement and National Missions; NIS 164 million will go to financing leave without pay because of Operation Roaring Lion against Iran; and hundreds of millions of shekels will go to protection against air raids in northern communities.

As mentioned, a petition against the proceeding sof the committee was filed yesterday in the High Court of Justice, by MK Na’ama Lazimi (Democrats) and the Hiddush Organization for Religious Freedom and Equality. The petitioners sought an injunction against the convening of the Finance Committee or alternatively a temporary injunction preventing transfers of money approved in the committee session.

Published by Globes, Israel business news – en.globes.co.il – on August 5, 2026.

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