Intel will receive grant aid of about $1bn (€875m) from the Israeli government for its latest investment plan to expand its chip manufacturing operations in the country, Israel’s finance minister has said.

Israel stepped up its attacks on Gaza today as it considered whether to escalate its devastating two-week offensive.

Israeli warplanes retaliating for rocket fire from Gaza pounded dozens of security compounds across the Hamas-ruled territory in unprecedented waves of air strikes today, killing at least 155 and wounding more than 310 in the bloodiest day in Gaza in decades.