Israel has hit back at the US after it allowed a vote to pass in the UN Security Council demanding an end to the building of settlements on occupied territory.
The vote was the first since 1979 to condemn Israel's settlement policy as, previously, the US had shielded its ally from such resolutions by using its veto power.
America also gives more than $3bn (£2.4bn) a year in defence aid to Israel but, under the Obama administration, it has become frustrated with continued settlement building in the West Bank, which Israel has occupied for nearly 50 years.
A statement from Israeli Prime Minister Benjamin Netanyahu said: "Israel rejects this shameful anti-Israel resolution at the UN and will not abide by its terms.
"The Obama administration not only failed to protect Israel against this gang-up at the UN, it colluded with it behind the scenes."
The US move was seen by some as a parting shot from Barack Obama to his successor Donald Trump, just weeks before the latter's inauguration.
Mr Trump had earlier joined with Mr Netanyahu in urging the Obama administration to veto the resolution as it was presented by Egypt.
The President-elect had written on social media that peace between the Israelis and Palestinians "will only come through direct negotiations between the parties and not through the imposition of terms by the United Nations".
He had added the resolution "puts Israel in a very poor negotiating position and is extremely unfair to all Israelis".
That draft was put on hold but it made a reappearance with sponsorship from New Zealand, Malaysia, Senegal and Venezuela.
It was this resolution that was passed 14 to zero with the help of the US's shock abstention.
The US ambassador to the UN Samantha Power said: "We cannot stand in the way of this resolution as we seek to preserve a chance of attaining our longstanding objective of two states living side by side in peace and security.
"The settlement problem has gotten so much worse that it is now putting at risk the very viability of that two-state solution."
Israel has also responded by re-calling its ambassadors to New Zealand and Senegal, although it does not have diplomatic relationships with Malaysia or Venezuela.
Israel may fare better with the next US administration, however.
Donald Trump, who is just weeks away from his inauguration, had wanted the US to veto the resolution and tweeted after the vote: "As to the U.N., things will be different after Jan. 20th."
The incoming president has already signalled a possible change in US policy by appointing one his lawyers - a fundraiser for a major Israeli settlement - as Washington's new ambassador to Israel.
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