By Jessica Elgot, November 18, 2009
The British and US governments and the United Nations have denounced plans approved by Israel to build 900 homes in Gilo, a neighbourhood in Jerusalem.
The building has been approved by the Israeli Interior Ministry has approved the expansion of the neighbourhood in south west Jerusalem.
A Foreign Office spokeswoman said: "The Foreign Secretary has been very clear that a credible deal involves Jerusalem as a shared capital. Expanding settlements on occupied land in East Jerusalem makes that deal much harder. So this decision is wrong and we oppose it."