Perhaps, if there's (somehow) less Jewish-Arab conflict, the Mandate of Palestine could become a British dominion. In that case, we'd have the very gentile Elizabeth of Windsor reigning as Queen of Israel.
I don't think a Crusader State would take the name of Israel, mostly because of the Kingdom of Israel (Samaria) relativly bad reputation in the Bible. (While Kingdom of Judah had a more favourable one, being used sometimes in political metaphores, as France being called a new Judah)