European Union warned that Israel’s announcements that it will build thousands of new settler homes in occupied Palestinian territory “further seriously undermine” prospects for a two-state solution.

Israel said yesterday that it had approved 2,500 news homes in the occupied West Bank days after it gave the go-ahead for 566 new units in east Jerusalem in a major expansion following the election of US President Donald Trump.

EU’s External action service’s spokesperson said it is regrettable that Israel is proceeding with the policy, despite the continuous serious international concern and objections, which have been constantly raised at all levels.

The EU is part of the quartet supporting diplomatic efforts for Palestinian-Israeli peace, along with the United States, the United Nations and Russia.