Financial Times FT.com

US-EU divisions loom over aid

By Daniel Dombey in London and Guy Dinmorein Washington

Published: January 27 2006 02:00 | Last updated: January 27 2006 02:00

Europe and the US yesterday called on Hamas to renounce violence and recognise Israel's right to exist, but officials said there could soon be a transatlantic divergence on how to deal with the newly victorious group.

European diplomats indicated that the EU could maintain its role as the Palestinian Authority's single biggest donor if Hamas desisted from acts of violence, while the US struck a tougher line.

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