final solution wouldnt have happened?
The Holocaust would still happen as Hitler was not only against Jews but also Gypsies, ethnic East-Europeans like Lituanians, Romanians & anyone with mental or severe physical disabilities etc.
The first Jewish settlers (from Russia) went to what later became Israel in 1909 ... so if well-off German Jews also went then, they could've established Israel (Britain being willing) & been in power by 1920. Before WW2, they were more conciliatory & inclusive than modern Israel - you wouldn't see a separate Palistine / Israel (subject to any social & political power of the fundamentalist Jewish faction). You may not see any of the Arab-Israeli wars developing at all. As in the real world, you'd see many British & American Jews joining the IDF rather than the UK forces for the duration of WW2.
Between 1920 & 1942, Britain had precious little weaponry to spare -- maybe, like Spain, Israel would initially get a few French Schneider & St.Schamonds for self-defence - later getting Char B1s & Renault/Hotchkiss 35 etc until British armour was available ?
Israeli troops with British, later American, arms would probably see greater combat with Italian forces, than German in WW2.
IDF Hurricane & Beaufort ? ..... or just all the cast-offs like Hawker Furys, Dragons, Heyfords, Whitleys, Wellingtons & Manchesters with Vickers Mk.IVs, Matilda Is & old Cruisers for tanks ? IDF would get Spitfires & Beaufighters eventually - say late 1944 onwards ?
What effect would an older & more established Israel have on arms design & manufacture ? A modified (better & more reliable) Matilda II, Crusader, rifles etc or some home-grown Israeli designs ? However they didn't have large local resources for manufacturing materials.
I can easily picture a P-40 or a Hawker Hurricane or perhaps a M.S.406 wearing the Star of David.
an Israeli Ms-406 sounds great :)