Peace talks between the Israelis and Palestinians came to a halt today when the Israeli government said it would no longer negotiate after Palestinian factions Hamas and Fatah announced a unity agreement.

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Tonight on Special Report, Bret Baier spoke to Israeli Prime Minister Benjamin Netanyahu about the future of a peace deal.

He said Palestinian President Mahmoud Abbas killed peace in the region by making a pact with a terrorist organization that wants to destroy Israel.

Chief Palestinian negotiator Saeb Erekat slammed the Israeli government for stopping the peace talks.

He charged, “Mr. Netanyahu and his government were using Palestinian division as an excuse not to make peace. Now they want to use Palestinian reconciliation as an excuse for the same purpose. This is utterly absurd. The only logical conclusion is that Netanyahu’s government does not want peace.”

Netanyahu responded, “It’s a blow to Israel; it’s a blow to peace. I think, Bret, it’s a terrible blow to the Palestinian people, because they must choose, too, whether they want to go forward or go backward.  Yesterday, with the pact with Hamas, the Palestinian people went, took a huge step backward, away from peace, away from a good future for themselves.”

The prime minister also spoke about Iran’s nuclear program. He called it a “monumental mistake” to leave Iran with the capacity to make nuclear weapons.

Watch the full ‘Special Report’ interview above for more.

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