Hamas said that Israel had laid down further conditions, while Israeli Prime Minister Benjamin Netanyahu accused the group of going back on understandings already reached.

"The occupation has set new conditions related to withdrawal, ceasefire, prisoners, and the return of the displaced, which has delayed reaching the agreement that was available," Hamas said.

It added that it was showing flexibility and that the talks, mediated by Qatar and Egypt, were serious.

Netanyahu countered in a statement: "The Hamas terrorist organization continues to lie, is reneging on understandings that have already been reached, and is continuing to create difficulties in the negotiations."

Israel will, however, continue relentless efforts to return hostages, he added.

Israeli negotiators returned to Israel from Qatar on Tuesday evening for consultations about a hostage deal after a significant week of talks, Netanyahu's office said on Tuesday.

The U.S. and Arab mediators Qatar and Egypt have stepped up efforts to conclude a phased deal in the past two weeks. One of the challenges has been agreements on Israeli troop deployments.

Israeli Defence Minister Israel Katz, speaking with commanders in southern Gaza, said on Wednesday that Israel will retain security control of the enclave, including by means of buffer zones and controlling posts.

Hamas is demanding an end to the war, while Israel says it wants to end Hamas' rule of the enclave first, to ensure it will no longer pose a threat to Israelis.

--Reuters--