Alistair Burt, the Foreign Office minister for the Middle East has emphasised “the urgent need to make progress towards a two state solution,” after a meeting with the Palestinians' chief negotiator, Dr Saeb Erekat, in London today.

Mr Burt said: “Dr Erekat and I discussed the urgent need to make progress towards a two state solution and the opportunities to take real steps towards peace in the coming months.

“I expressed the UK’s deep concern about developments that threaten our shared goal, in particular continued settlement building in the West Bank and East Jerusalem.

“I made clear the British view that we see negotiations towards a two state solution as the best way to meet the national aspirations of both Israelis and Palestinians.”

Mr Burt confirmed that the UK would provide up to £122 million until 2015, to assist “creating a sovereign and prosperous Palestinian state living in peace alongside a safe and secure Israel.”