It has been planned for a very long time- but there was a big problem.
'*The danger of a great war*
The fundamental factor that prevents the project from coming to life in practice is the presence of Palestinians in Gaza. The Palestinians should be expelled from that area or put under strict control which is happening these days. Apart from the Palestinians, the obstacle to the canal is the Arab and, more broadly, the Muslim world. There is no doubt that an attempt to build a canal from the Red Sea through Israel to the Ashkelon and Gaza areas could start a major war in the Middle East because it is hard to believe that the Muslim states would do nothing. If no one else, Iran would surely react.'
Ultimately, the obstacle to the canal is Russia, China and their partners. The Chinese and Russians would not stand idly by and watch irreparable damage be done to BRICS and the New Silk Road. If the Israeli canal came to life and Suez fell into the background, it would cut off Moscow and Beijing from the Mediterranean Sea. It is precisely for these reasons that the construction of the Israeli canal could trigger World War III just as the declaration of the State of Israel triggered numerous Arab-Israeli wars that have lasted for 75 years.'
link to full article below. There are so many of them saying more or less the same thing.