U.S. Vice President Joe Biden said Wednesday the Palestinians deserve a viable independent state with contiguous territory, in an effort to reassure them of U.S. support after Israel announced plans to expand a Jewish neighborhood in disputed East Jerusalem.

The Israeli move has overshadowed Biden’s visit, meant to promote a new round of U.S.-led negotiations, and drawn Palestinian accusations that Israel is not serious about peace.

Israel apologized for embarrassing Biden with the timing of its announcement, but made clear it has no intention of reversing its plan.

Capping a day of meetings with Palestinian leaders, Biden told his hosts that the U.S. is committed to brokering a final peace deal – something that has eluded U.S. leaders for decades.

“The United States pledges to play an active as well as a sustainable role in these talks,” Biden said. He stressed the Palestinians deserve an independent state that is viable and contiguous, meaning the territory should not be broken up by Israeli settlement enclaves.

“Yesterday the decision by the Israeli government to advance planning for new housing units in East Jerusalem undermines that very trust, the trust that we need right now in order to begin … profitable negotiations,” Biden said.

It was a clear message to Israel that the U.S. expects a broad withdrawal from the West Bank as part of a deal.

Prime Minister Benjamin Netanyahu, has given only conditional support for Palestinian independence and signaled that he wants to retain control of key parts of the West Bank, including Jewish settlements. The U.S., along with the Palestinians, consider settlements built on lands claimed by the Palestinians to be obstacles to peace.

The Israeli plan to build 1,600 new homes in the East Jerusalem neighborhood of Ramat Shlomo was an embarrassing setback for Biden, who arrived Monday hoping to build on an agreement by both sides to resume indirect negotiations through the mediation of U.S. envoy George Mitchell.

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