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Edition: U.S. Article Comments (0) Email Print Reprints Full Focus Editor's choice A selection of our best photos from the past 24 hours. Full Article Best pictures of the year Read Wikileaks' Assange in UK, police know where: report 01 Dec 2010 Amazon stops hosting WikiLeaks website 01 Dec 2010 Elizabeth Smart storms out of kidnapper's trial 01 Dec 2010 Top U.S. military officer presses China over North Korea 01 Dec 2010 Elizabeth Smart storms out of kidnapper's trial 01 Dec 2010 Discussed 71 Saudi king urged U.S. to attack Iran: WikiLeaks 64 South Korea names security adviser as defense minister 64 Obama to propose two-year federal worker pay freeze Watched Bejeweled bra exposed in NY Thu, Oct 21 2010 Row over vote orgasm video Fri, Nov 19 2010 World reacts to WikiLeaks release Mon, Nov 29 2010 Israel unveils new residential plan near East Jerusalem Tweet This Share on LinkedIn Share on Facebook By Ori Lewis JERUSALEM (Reuters) - Israel on Wednesday revealed plans to build new homes on West Bank land it has annexed as part of its Jerusalem boundaries, a move likely to further hamper any resumption of peace talks with the Palestinians. The... Related News U.S. condemns Palestinian report on Western Wall Tue, Nov 30 2010 In West Bank, Ramallah looks ever more like capital Tue, Nov 30 2010 Israel angered by Palestinian report on Western Wall Thu, Nov 25 2010 Analysis: New layer of doubt cast over Middle East peace drive Wed, Nov 24 2010 Israeli parliament approves referendum-for-peace law Mon, Nov 22 2010 Analysis & Opinion Nuclear bombs and the Israeli elephant Related Topics World » By Ori Lewis JERUSALEM | Wed Dec 1, 2010 4:32pm EST JERUSALEM (Reuters) - Israel on Wednesday revealed plans to build new homes on West Bank land it has annexed as part of its Jerusalem boundaries, a move likely to further hamper any resumption of peace talks with the Palestinians. The plan to build 625 homes in the urban area of Pisgat Zeev adjacent to Arab East Jerusalem was approved by an Israeli Interior Ministry committee last week, some two years after it was originally proposed, Israel Radio said. The plan will probably hinder U.S. efforts to revive direct Israeli-Palestinian peace talks, which were launched on September 2 but suspended by Palestinians after Israel refused to extend a partial freeze on West Bank settlement building on September 26. Israel has insisted that building in the urban areas it annexed to Jerusalem following their capture in a 1967 Middle East war were never included in the freeze. Its move to annex the West Bank land has not won international approval. Pisgat Zeev, founded 25 years ago, is one of its largest Jewish "neighbourhoods," as Israel refers to it, with some 50,000 inhabitants. But despite Israel's insistence on exempting Jerusalem from the freeze, building plans in the city were quietly put on hold after an embarrassment with Washington over tenders disclosed during a visit by Vice President Joseph Biden in March. A spokeswoman for the Israeli rights group Peace Now, which monitors Jewish settlement building, has estimated that settlers hold some 13,000 construction permits throughout the West Bank issued before Prime Minister Benjamin Netanyahu announced the 10-month freeze a year ago. Netanyahu announced the freeze to coax Palestinian President Mahmoud Abbas into direct talks but these ground to a halt after Israel refused to extend it despite diplomatic pressure from its main U.S. ally. Israel says the settlement issue should be resolved in discussions about future borders and not be a precondition for talks. Palestinians charge that continued Jewish settlement-building in the occupied West Bank undermines their chances of establishing a viable state with contiguous territory. They want East Jerusalem to be its capital but Israel also claims the city to be its own undivided eternal capital. Some 500,000 Israelis live in the West Bank and East Jerusalem among 2.5 million Palestinians. (Writing by Ori Lewis; Editing by Mark Heinrich) World We welcome comments that advance the story directly or with relevant tangential information. We try to block comments that use offensive language, all capital letters or appear to be spam, and we review comments frequently to ensure they meet our standards. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. Comments (0) Be the first to comment on reuters.com. Add yours using the box above. 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