Israeli troops backed by tanks and warplanes have escalated their ground offensive, battling Hamas militants in a crowded neighbourhood of Gaza City.

An area of Gaza City has come under heavy tank fire as Israel widened its ground offensive against Hamas, causing hundreds of panicked residents to flee.

Israeli war planes intensified attacks across the Gaza Strip today, targeting senior Hamas leaders and bombing a coastal area where four Palestinian boys were killed.

Hundreds of Palestinian families, their children crying, fled as Israel intensified airstrikes on Hamas targets, including homes of the movement’s leaders, following failed Egyptian ceasefire efforts.

Israel has fired missiles at the homes of four top Hamas leaders, the militant group said, in a resumed bombardment of Gaza following a failed Egyptian ceasefire effort.

People in Gaza fear further bombardment after Israel warned tens of thousands in the north and east to leave their homes.

ISRAELI troops stormed a Hamas stronghold yesterday and exchanged fire with dozens of masked gunmen in the most intense battle in Gaza in 31 months of fighting. Twelve Palestinians, including two children and a top bombmaker, were killed.

Eight Palestinians, including a toddler, were killed in Gaza today in what was described as the most intense gun battle there in 31 months of fighting.