Israel is moving forward with plans for two major settlement projects in east Jerusalem, a spokeswoman said Tuesday, even as a senior Palestinian official warned that his government could pursue war crimes charges if Israel doesn't halt such construction.

International anger over Israeli settlement construction has snowballed in recent days, following last week's U.N. recognition of a state of Palestine — in lands Israel occupied in 1967 — as a non-member observer in the General Assembly.

Israel retaliated for U.N. recognition of Palestine in the West Bank, Gaza and east Jerusalem by announcing plans to build 3,000 homes for Jews in the West Bank and east Jerusalem, as well as preparations for construction of an especially sensitive project near Jerusalem, known as E-1.

The Israeli reprisal has prompted the country's strongest Western allies to take an unusually strong line with the Jewish state.

British Foreign Secretary William Hague told Britain's parliament Tuesday that the latest Israeli building plans would make the establishment of a Palestinian state alongside Israel, with Jerusalem as a shared capital, "almost inconceivable."

Asked by a legislator about the possibility of economic sanctions against Israel, Hague said: "I do not think there is enthusiasm around the European Union for that."

However, he said there would be further diplomatic steps — with the exception of cutting ties — if settlement building continues.

Australia and Brazil summoned the local Israeli ambassadors Tuesday to protest the settlement plans, Israel's Foreign Ministry said, a day after five European countries, including Britain, took the same step.

Israeli government spokesman Mark Regev defended the recent Israeli decisions, saying that "from our perspective, Israel is responding in a very measured way to a series of Palestinian provocations."

U.N. recognition could enable the Palestinians to gain access to the International Criminal Court and seek war crimes charges against Israel for its construction of settlements on occupied lands.

Last week, Palestinian President Mahmoud Abbas said that he's not going to turn to the ICC "unless we were attacked" and that he informed many countries, including the United States, of this position. Abbas spoke before Israel announced its latest settlement plans.