It was founded in 2012 by Shmuel Auerbach as a reaction to the Bnei Brak-based Degel HaTorah's perceived moderate approach to the question of conscription of Haredim into the Israel Defence Forces by the Israeli government that came up following the expiration of the Tal Law.
Dozens of IDF reserve soldiers had put up what they called "the suckers' camp" near the Tel Aviv Savidor Central railway station, to protest the possible extension of the Tal Law.
[8] Prime Minister Benjamin Netanyahu said that the government would formulate a new bill that would guarantee a more equal sharing of the burden by all parts of Israeli society.
In light of these events, in November 2012 Jerusalem Faction founder Shmuel Auerbach issued a memorandum to all yeshiva students asking them to refrain from reporting to the recruitment office until further notice, even if the purpose was only to receive a medical exam.
The death of Yosef Shalom Elyashiv in the critical year of 2012 created a power struggle among his successors, Aharon Leib Shteinman and Shmuel Auerbach, surrounding the draft controversy, with the former taking a more moderate approach, while the latter took a harder stance.
In particular, two disciples of Degel HaTorah party founder Elazar Shach, dayan Tzvi Friedman of Bnei Brak and Baruch Shmuel Deutsch of Kol Torah yeshiva, appeared to have assumed joint decision-making responsibilities for the group.
[12] The Jerusalem Faction runs a political party, Bnei Torah [he] (call letters in Hebrew: עץ, romanized: Etz).
The Faction created a Committee for Saving the Torah World to co-ordinate these activities,[12] seeking to prevent any erosion of the status quo.
[14][better source needed] In October 2017, Chaim Kanievsky issued a statement describing the Jerusalem Faction as "empty and reckless", and "like a flock without a shepherd".