Prime Minister Sir Keir Starmer has formally recognised a Palestinian state, marking a major change in Britain’s foreign policy and placing the UK alongside Australia, Canada and Portugal in backing a two-state solution. France is expected to follow.

In a video statement on X, Starmer said: “In the face of the growing horror in the Middle East we are acting to keep alive the possibility of peace and a two-state solution.” He stressed the decision “is not a reward for Hamas” and insisted the group would have “no future, no role in government, no role in security.”

The move triggered sharp criticism from Israel and sparked heated debate at home. Prime Minister Benjamin Netanyahu said a Palestinian state “will not happen” and accused Britain and other governments of offering “a huge reward to terrorism.” Families of hostages still held in Gaza and several Conservative leaders also condemned the decision.

UK ministers said recognition covers provisional borders based on 1967 lines with land swaps, to be finalised in future negotiations. Deputy Prime Minister David Lammy acknowledged recognition would not alter realities on the ground but argued that “now is the time to stand up for a two-state solution.”

Palestinian Authority President Mahmoud Abbas welcomed the move, calling it a step toward “the state of Palestine to live side by side with the state of Israel in security, peace and good neighbourliness.” Hamas also issued a statement describing the recognition as an “important step,” though it pressed for measures to end the war immediately.

The decision comes as the humanitarian crisis in Gaza deepens. The Hamas-run health ministry said 71 people were killed and more than 300 injured in Israeli strikes over the past day. Israel’s latest ground offensive in Gaza City has forced hundreds of thousands to flee, while the UN estimates at least 65,000 Palestinians have been killed since the conflict began nearly two years ago.

Starmer said the devastation in Gaza is “utterly intolerable” and reaffirmed that Britain will continue to sanction Hamas figures. The recognition, he added, is “a pledge to the Palestinian and Israeli people that there can be a better future.”

While critics accuse the government of emboldening Hamas, supporters argue the announcement restores momentum for a two-state solution at a time when peace talks remain stalled and violence continues to escalate.

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