The United Nations Gaza HQ was set on fire by an Israeli bombardment today as the organisation’s chief Ban Ki-moon was in the area on a peacemaking mission.

Israeli tanks shelled Gaza City today and ground troops thrust deep into a crowded neighbourhood for the first time.

Israeli troops advanced into Gaza suburbs for the first time early today, residents said, hours after Prime Minister Ehud Olmert warned Islamic militants that they face an “iron fist” unless they agree to Israeli terms for an end to war in the Gaza Strip.