Six European countries have now halted funding for the UN refugee agency for Palestinians after allegations that some of its staff were involved in the October 7 Hamas attack on Israel. The countries that have joined the US, Australia and Canada's decision to pause funding are Britain, Germany, Italy, the Netherlands, Switzerland and Finland.


Reacting to the measure, Philippe Lazzarini, UNRWA commissioner-general said, "Palestinians in Gaza did not need this additional collective punishment", adding, "This stains all of us."


“It is shocking to see a suspension of funds to the Agency in reaction to allegations against a small group of staff, especially given the immediate action that UNRWA took by terminating their contracts and asking for a transparent independent investigation," Lazzarini said in a statement, adding that the decision by the nine countries would threaten humanitarian works in Gaza amid war.


However, the agency also said it has opened a probe into the claims against the employees facing the allegations and snapped ties with them.


Pushing for more suspensions, Israel Foreign Minister Israel Katz said UNRWA should be replaced once the fighting pauses after accusing it of ties to Islamist militants in Gaza.


"In Gaza's rebuilding, @UNRWA must be replaced with agencies dedicated to genuine peace and development," he added on X.
Responding to the remarks, Deputy U.N. spokesperson Farhan Haq said: “We are not responding to rhetoric. UNRWA overall had had a strong record, which we have repeatedly underscored.”


On the other hand, the Palestinian foreign ministry has criticised the 'Israeli campaign' against UNRWA, and Hamas condemned the sacking of employees "based on information derived from the Zionist enemy".


The UN agency in question was set up to help refugees of the 1948 war at Israel's founding and provide education, health and aid services to Palestinians in Gaza, the West Bank, Jordan, Syria, and Lebanon, helping a majority of Gaza's 2.3 million population. It played a pivotal role in providing aid to those affected by the recent Israel-Hamas war.


Hussein al-Sheikh, head of the Palestine Liberation Organization (PLO), said freezing funds to the agency brought major political and relief risks.
"We call on countries that announced the cessation of their support for UNRWA to immediately reverse their decision," he said on X.
The Foreign Ministry in Germany expressed concerns over the claims but welcomed the probe. It said on X, "We expect Lazzarini to make it clear within UNRWA's workforce that all forms of hatred and violence are unacceptable and will not be tolerated."