Economy Minister Nir Barkat issued a veiled threat to Prime Minister Benjamin Netanyahu during the cabinet meeting on Sunday.
Barkat responded, according to a report by Yaron Avraham of Channel 12 News, to remarks attributed to Netanyahu about a Palestinian state after the war.
"Whoever thinks of giving a reward to the Palestinians in the form of a state after October 7 - will find that he has no government," Barkat said at the Cabinet meeting.
In response, Netanyahu's associates took a shot at Barkat and wondered, "Did Barkat say what he said as a supporter of the Labor Party during the days of Oslo or a supporter of Kadima during the disengagement?"
CNN reported on Saturday that Netanyahu told US President Joe Biden in a Friday phone conversation that he is not ruling out the creation of a Palestinian state.
Netanyahu also told the US President that his statements at a press conference held earlier this week "were not meant to foreclose that outcome in any form," a person familiar with the conversation told CNN.
At the end of the conversation, Biden said, "there are a number of types of two-state solutions."
He added, "There’s a number of countries that are members of the UN that … don’t have their own military; a number of states that have limitations, and so I think there’s ways in which this can work."
Netanyahu's office responded to the report in a rare statement made on Shabbat which said, "In his conversation with President Biden, Prime Minister Netanyahu reiterated his policy that after Hamas is destroyed Israel must retain security control over Gaza to ensure that Gaza will no longer pose a threat to Israel, a requirement that contradicts the demand for Palestinian sovereignty."