Foreign Minister Tzipi Livni has tacitly forfeited retaining Jerusalem as the united capital of Israel by explaining to visiting Evangelical leader John Hagee her "red lines" in negotiations with the Palestinian Authority (PA). She defined the red lines as retaining control over holy sites, maintaining security and refusing to allow millions of foreign Arabs to immigrate to Jerusalem.

She insisted Israel will not compromise on these issues but she did not mention the status of Jerusalem. The Shas party has warned that it would pull out of the coalition government if the Foreign Minister discusses with the PA the Olmert administration plans to surrender large areas of the capital.