Israel denies reports US has scrapped Jerusalem embassy move

Israeli Prime Minister Binyamin Netanyahu's office has denied media reports that the White House has scrapped plans to move the US embassy to Jerusalem.

Israeli news site NRG had earlier reported that the US administration had notified Israel it was ditching controversial plans to move the embassy from Tel Aviv to Jerusalem.

Netanyahu's office denied the claim and said it had received no such notification.

"Israel's position is that all embassies, particularly the US embassy, should be in Israel's capital - Jerusalem," the Israeli PM's office said in a statement, according to the Jerusalem Post.

US President Donald Trump had promised during his campaign to move the American embassy to Jerusalem, whose status is one of the thorniest issues of the Israeli-Palestinian conflict.

It remains to be seen whether Trump will fulfil his pledge, but last week Vice President Mike Pence said the president is giving "serious consideration" to the move.

Trump is currently scheduled to visit Israel on 22 May and the timing of the trip to Israel has raised speculation that the visit could signal a major announcement.

Jerusalem Day on 23 May is a national holiday in Israel marking the 'reunification' of the city, after East Jerusalem's capture from Jordan in 1967.

East Jerusalem is considered occupied Palestinian territory by the international community.

The proposed embassy move has drawn the ire of Palestinian officials, with the PLO threatening to revoke recognition of Israel if it went ahead.

Moving the US embassy from Tel Aviv to Jerusalem will effectively give recognition to Israel's claim over the holy city, which was illegally annexed after the 1967 war