The UK, Australia, and Canada jointly launched a £3 million (approximately $4 million) peace fund to support efforts aimed at a two-state solution to the Israeli-Palestinian conflict. Each country is contributing £1 million (about $1.34 million) to the fund, which was announced on Thursday ahead of a meeting in the UK involving foreign ministers from the three countries [1, 2].

The fund is designed to back grassroots initiatives, including youth groups, civil society organizations, and women's programs that promote dialogue and long-term peacebuilding between Israelis and Palestinians [1, 2]. British Foreign Secretary Yvette Cooper said, "Peace, justice and security in the Middle East depends on a two-state solution and it is why our countries have recognised the State of Palestine alongside the State of Israel. But too often Middle East peace is seen as an issue only of international diplomacy. When generations of Israelis and Palestinians have grown up with cycles of conflict and violence, we also need to support the local community organisations who are building dialogue, peace and trust across communities." [1]

Cooper added, "A negotiated two-state solution remains the only viable route to a just and lasting peace. This Fund will help support progress towards that goal from within those communities themselves." [1]

The fund aims to complement broader international peace efforts and is expected to expand by attracting additional donors once it becomes operational [1, 2]. It also seeks to address issues including violent actions by some Israeli settlers and to support US President Donald Trump's 20-point Gaza peace plan, according to sources[citation needed] [1].

The joint announcement on June 11 set the fund into motion, signaling coordinated diplomatic engagement by the three countries to support peacebuilding at the community level in the region [1, 2].