LONDON 

More than 20 countries on Thursday condemned the Israeli plan to build thousands of new homes in the occupied West Bank, labeling the E1 settlement plan "unacceptable" and a "violation of international law."

In a joint statement, 21 countries, as well as the EU, condemn Israel's E1 settlement plan and call for its immediate reversal in the strongest terms.

"The decision by the Israeli Higher Planning Committee to approve plans for settlement construction in the E1 area, East of Jerusalem, is unacceptable and a violation of international law," said the foreign ministers of Australia, Belgium, Canada, Denmark, Estonia, Finland, France, Iceland, Ireland, Italy, Japan, Latvia, Lithuania, Luxembourg, the Netherlands, Norway, Portugal, Slovenia, Spain, Sweden and the UK as well as the top diplomat of EU.

According to Israeli media, Finance Minister Bezalel Smotrich has approved the construction of 3,401 settler units in Ma'ale Adumim, east of Jerusalem, and 3,515 more in surrounding areas. The project aims to split the West Bank into two parts, severing connections between its northern and southern cities and isolating East Jerusalem.

Smotrich said the plan will make a two-state solution impossible by dividing any future Palestinian state and restricting Palestinian access to Jerusalem.

"Instead, it risks undermining security and fuels further violence and instability, taking us further away from peace," it added.

Saying that the Israeli government still has an opportunity to stop the E1 plan from going any further, the foreign ministers urged Tel Aviv to "urgently retract" the plan.

"The Israeli government must stop settlement construction in line with UNSC Resolution 2334 and remove their restrictions on the finances of the Palestinian Authority," it added.