According to highly confidential documents, UK and US intelligence agencies hold a list of targets to spy on; the targets included German government buildings in Berlin and elsewhere, the EU competition commission, and the heads of institutes offering financial and humanitarian support to Africa.
The latest revelations will further embarrass Washington, following strong criticism of the National Security Agency when it emerged that it had been spying on the phone of Angela Merkel, the German chancellor.
A GCHQ document from 2009 clearly shows that the agencies were targeting an email address belonging to a close associate of Ehud Olmert, the Israeli PM.
Three more targets appeared in the GCHQ documents, including another email address used to send messages to the defence minister of the time, Ehud Barak, and his chief of staff, Yoni Koren.
Other prominent names in the documents include Joaquin Almunia, vice-president of the European Commission responsible for competition policy.
Britain's spying on Germany may also prove awkward for PM David Cameron. He endorsed a European Union statement condemning the NSA's spying on world leaders, including Merkel. Now, let us see whether the NSA continues to spy on the phones of world leaders or reconsiders its policies.