Andy Burnham has been left bracing for a row with Donald Trump after pushing ahead with imposing sanctions on Israel.
The Prime Minister, who also risks a backlash from Labour MPs, will fast-track a trade ban against Israeli settlements in the West Bank tomorrow.
The sanctions are not thought to include financial restrictions on specific individuals or companies.
However, Foreign Secretary Ed Miliband confirmed plans for sanctions on Israel come as part of a “comprehensive reset” in relations.
Mr Burnham told Mr Trump about his plan to slap sanctions on Israel in a phone call tonight.
A No10 spokeswoman said: “On the Middle East, the Prime Minister set out the UK’s commitment to working towards peace and security in the region, stressing the importance of the Two-State Solution, the reopening of the Strait of Hormuz, and ensuring that Iran never acquires a nuclear weapon.”
The White House is now expected to make a statement attacking Mr Burnham’s decision.
Israeli ministers will likely retaliate against the sanctions, which will be announced while Labour fights a by-election against the Green Party in Holborn & St Pancras.
Labour MPs have been left divided on how to respond to events in the Middle East.
MPs connected to the Labour Friends of Israel group said there is a risk the trade ban will become a “de facto boycott” of the world’s only Jewish state.
“The risk is that what are intended to be targeted sanctions could have quite messy knock-on implications,” one Labour MP told The Telegraph.
“It will end up with a boycott of most stuff from Israel.”
However, more than 140 Labour MPs have signed a letter calling on the Prime Minister to ban trade with Israeli settlements.