UK and Israel agreed to a scaled-down presence at the consulate in Jerusalem, with Britain renaming the site as the UK Mission. Israel will close the consulate but allow some diplomats to remain. Britain says it will continue to provide vital services.
The agreement comes after Israel issued a 30-day deadline for Britain to close the consulate following sanctions on Israeli settlements. Britain temporarily withdrew diplomats to ensure safety, and will work to rebuild its presence. Israel's Foreign Minister said the consulate is in occupied territory and Britain does not accept that.
Britain's Foreign Secretary said the UK Mission will continue to deliver services to Palestinians. The consulate, which has been in East Jerusalem since 1839, will operate with a limited role. The closure does not affect Britain's embassy in Tel Aviv.
Israel and Britain reached an understanding to prevent further deterioration in relations. Britain will not take reciprocal action while discussions continue, and the consulate building remains open with the British flag still flying.