Majority of Jewish Israelis back Trump's Jerusalem declaration

Israeli minister forces NBA website to remove phrase 'occupied territory'

Palestinian leaders say they will not be "blackmailed" after Donald Trump threatened to cut aid worth more than $300million annually.

Trump wrote on Twitter that the USA sends hundreds of millions of dollars each year and gets "no appreciation or respect".

The legislative move came as Trump threatened to take away hundreds of millions of dollars of aid payments to the Palestinians, on the grounds that they "are no longer willing to talk peace".

"Instead of treating the Palestinians with fairness, President Trump has chosen a game of blame rather being an honest broker", Erekat said. But cutting off aid could also affect Israel, which relies on the Palestinian Authority to help maintain calm in the volatile region, the newspaper adds.

Mr Trump's latest comments appear to contradict his previous statement that the United States recognising Jerusalem as the Israeli capital would not impact the final status of the city in peace negotiations.

'Jerusalem is the eternal capital of the state of Palestine and it is not for sale for gold or billions, ' Nabil Abu Rudeina told AFP. "We're not giving the aid, we're going to make sure they come to the table and we want to move forward with the peace process".

Palestinian official Hanan Ashrawi responded with a statement Wednesday. The U.S. also gave the P.A. more than $54 million for security, and donated more than $355 million to the United Nations Relief and Works Agency for Palestinian Refugees (UNRWA).

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"President Trump has sabotaged our search for peace, freedom and justice.

But with the Palestinians no longer willing to talk peace, why should we make any of these massive future payments to them?"

"The United States has proven to be a dishonest mediator in the peace process", said Palestinian President Mahmoud Abbas, who has said he will not accept any U.S. peace plan for the Middle East.

"We still very much want to have a peace process, nothing changes that", she said.

The United States does not pay large amounts of money directly to the Palestinian Authority, the government that rules over parts of the Palestinian West Bank.

Trump has said his decision merely recognized the reality that Jerusalem already serves as Israel's capital and wasn't meant to prejudge the final borders of the city.

He accused the Palestinians of recalcitrance in what he described as their refusal to negotiate a peace deal with Israel.

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