Israel settlement building rises despite 'road map'

Israel's building in Jewish settlements rose 35 per cent last year despite a United States-led peace plan with Palestinians that calls for a freeze in construction on occupied land.

Israel reported that work began on about 1850 new settler homes in the West Bank and Gaza Strip in 2003, a trend that could complicate Prime Minister Ariel Sharon's bid for US approval for his unilateral "disengagement" plan.

Palestinian spokesman Hassan Abu Libdeh said settlement expansion showed Israel's lack of commitment to the US-backed "roadmap".

Richard Boucher of the US State Department reiterated Washington's position that there needed to be an end to settlement activity.