Israeli Prime Minister Benjamin Netanyahu on Wednesday approved the "immediate" construction of 300 settler homes in the occupied West Bank as his government came under pressure from right-wing Zionist groups.

Israeli Prime Minister Benjamin Netanyahu on Wednesday approved the "immediate" construction of 300 settler homes in the occupied West Bank as his government came under pressure from right-wing Zionist groups.

Zionist settlements in the West Bank are viewed as major impediments to "peace negotiations" with Palestinians, who see the land as part of a future independent state, and Western nations have called on 'Israel' to halt such projects.

The decision comes amid already strained relations between 'Israel' and the United States, particularly over the recent nuclear deal with Iran, but Netanyahu is also under pressure to hold together his one-seat majority in parliament.

Palestinian officials had not immediately reacted to the announcement, but they have previously strongly condemned such moves.

"After consultations in the prime minister's office, the immediate construction of 300 settler homes in Beit El has been authorised," a statement from Netanyahu's office said, adding that planning for another 504 homes in annexed East Jerusalem had also been approved.

According to the statement, the 300 settler units in the West Bank had been promised three years ago following the demolition of other homes in the Beit El settlement.