RAMALLAH: French President Nicolas Sarkozy yesterday offered his services as a Middle East peace broker but pressed Israeli MPs for a freeze on settlements.

“There can be no peace without stopping settlements,” Sarkozy told Israeli MPs and invited guests during an address to Knesset, or the Israeli Parliament.

“There is a proposal backed by many members of your Knesset for the adoption of a law that would encourage settlers to leave the West Bank in exchange for compensation and relocation in Israel,” he said.

Israeli authorities have announced the construction of hundreds of new homes for Jewish settlers in the West Bank in recent months, infuriating the Palestinians and drawing criticism from the international community which regards all settlements on occupied land as illegal.

“I ask you to trust us because we want to help you,” said Sarkozy. “France is ready to provide its guarantee, ready to mobilize its diplomatic service, its resources, its soldiers. You can trust France,” he said, without specifying what role French soldiers could play.

Sarkozy also called for an easing of travel restrictions in the West Bank, where the army operates hundreds of roadblocks which the World Bank says are a major obstacle to economic growth but which Israel insists are vital to its security.

Sarkozy said a lasting peace required the creation of a viable Palestinian state alongside Israel with both sharing Jerusalem as their capital. “There can be no peace without recognizing Jerusalem as the capital of two states and the guarantee of freedom of access to the holy places for all religions,” he said.

He said the Palestinians too had to do more in order to achieve peace. “There can be no peace if Palestinians themselves do not combat terrorism.”

But the president stressed that France was strongly committed to Israel’s security and vowed that his country would always stand by Israel against those who call for its destruction.

“A nuclear Iran is intolerable. Anyone trying to destroy Israel will find France blocking the way,” Sarkozy said.

Palestinian President Mahmoud Abbas welcomed Sarkozy’s statement. “The positions expressed by President Sarkozy reflect the French support for the Palestinian cause in seeking to reach a peaceful settlement in the region,” his spokesman, Nabil Abu Rudeina, said. Sarkozy is to travel to the West Bank town of Bethlehem today for talks with Abbas.

With input from agencies