Israeli minister says hostage deal ‘closer than ever’ as Trump sends warning to Hamas

US president-elect Donald Trump also said he had a ‘very good talk’ with Israel’s prime minister Benjamin Netanyahu

Israeli people protest against prime minister Benjamin Netanyahu's government and call for the release of hostages (AP)

The Israeli defence minister has told lawmakers the government is “closer than ever” to closing a deal with Hamas, according to reports.

Israel Katz reportedly updated Israel’s parliamentary Foreign Affairs and Defense Committee about the ongoing efforts to free the hostages being held by Hamas in Gaza.

It comes as president-elect Donald Trump said he had a "very good talk" with Israel's prime minister, Benjamin Netanyahu, and reiterated his threat that "all hell is going to break out" if Hamas does not release its hostages by 20 January - the day Mr Trump takes office.

Mr Katz’s comments to the committee were made behind closed doors, but his remarks were leaked to Israeli news outlets.

Israeli defence minister Israel Katz reportedly told lawmakers a hostage deal is ‘closer than ever’ (Reuters)

“Israel is closer than ever to another hostage deal,” Mr Katz was quoted as saying.

An official with knowledge of the talks also told Reuters on Monday that an Israeli technical team is in Doha for working-level talks with Qatari mediators on “remaining issues” in a ceasefire and hostage release deal.

According to the Walla news site, Mr Katz also suggested the agreement will have the support of the majority of the coalition and should not encounter internal challenges.

He seemed to indicate that an open-ended ceasefire - which Hamas wants but many in Mr Netanyahu's hard-right coalition oppose - would not be part of the agreement.

“There’s flexibility on the other side," Mr Katz said. He reportedly added: "They understand we’re not going to end the war.”

Following his call with Mr Trump, the Israeli prime minister said: “We are working all the time, without rest, to bring our hostages home.

“The less we talk about it, the better — that way, with God’s help, we will succeed.”

Smoke rises from Gaza as seen from the Israeli side of the border (Reuters)

In a press conference in Palm Beach, Florida, on Monday president-elect Mr Trump said: "As you know, I gave a warning that if these hostages aren't back home by that date, all hell is going to break out.”

Later, Mr Trump added that if no ceasefire deal is reached by the time he takes office, "it's not going to be pleasant."

More than 100 hostages have been freed through negotiations or Israeli military rescue operations. Of the 100 still held in Gaza, roughly half are believed to be alive.

Hamas-led militants killed 1,200 people and abducted more than 250, including Israeli-American dual nationals, during its 7 October attack on Israel last year, according to Israeli counts.

Since then, Israel's military offensive in the Gaza Strip has killed at least 45,028 Palestinians and wounded 106,962, according to Palestinian health officials.

The ministry's count does not distinguish between civilians and combatants, but it has said more than half of fatalities are women and children. The Israeli military says it has killed more than 17,000 militants, without providing evidence.

Israel claims Hamas is responsible for the civilian death toll because it operates from within civilian areas in the densely populated Gaza Strip. Rights groups and Palestinians say Israel has failed to take sufficient precautions to avoid civilian deaths.

Qatar, Egypt and the US have renewed efforts to broker a ceasefire deal in recent days, and mediators have said there appears to be more willingness from both sides after 14 months of war.