Israeli Prime Minister Benjamin Netanyahu has authorised the construction of more than 1,000 houses in East Jerusalem, beyond the Green Line.

Around 660 homes will be built in Ramat Shlomo, with 400 more slated for construction in Har Homa. If the process goes ahead, it will end an unofficial freeze on settlement building which was enacted in May last year.

The move will appease the right-wing Jewish Home party, whose cabinet members Naftali Bennett and Uri Ariel last week threatened to destabilise the coalition if an agreement was not reached.

Justice Minister Tzipi Livni said the plans were “irresponsible from both a diplomatic and security standpoint.

“Plans for more construction, even if it’s in the settlement blocs, under such sensitive circumstances that we find ourselves in, are irresponsible from both a diplomatic and security standpoint,” said the Hatnua leader.

Another cabinet member, Finance Minister Yair Lapid, said that while he was not opposed to new settlement homes, building “at this stage would lead to a serious crisis in ties with the United States, and would harm Israel’s international standing.”

Jordan's ambassador to Israel, Walid Obeidat, also criticised the planned expansion, warning that Israel’s treaty with his country may become unstable if plans go ahead.

Speaking at an event celebrating the 20 years of the treaty, he said: “All such acts are incompatible with international law and international humanitarian law and if allowed to continue will ultimately imperil the treaty.”

The Prime Minister is also expected to strengthen existing settlements in the West Bank by approving plans for 12 new roads, student villages, parks and better water infrastructure.

A promenade will be built in the West Bank settlement of Gush Etzion to commemorate the three children from the area who were kidnapped and killed in June.