The Times, Independent, Independent i and the online editions of the Guardian, Telegraph and Financial Times all report that a jury in the United States yesterday ruled that the Palestinian Authority (PA) and the Palestine Liberation Organisation (PLO), both headed by PA President Mahmoud Abbas, must pay in excess of £141 million in damages for having provided material support to terrorists. The long-running civil case was brought by 10 American families whose loved ones were among 33 people killed in six terror attacks in Israel between 2002 and 2004.

The Times and the online edition of the Independent both cover a brief blackout in the Palestinian West Bank cities of Nablus and Jenin yesterday. The power outage was caused by the Israel Electricity Corporation (IEC), which provides electricity to Palestinian territories in both the West Bank and the Gaza Strip, but is owed an estimated £305 million by the PA. The IEC cut power for 45 minutes due to the debt, while Israel’s government quickly denied that it had ordered or authorised the blackout.

The Times, Guardian, Metro and the online edition of the Financial Times all cover leaked intelligence agency cables which have been published by Al-Jazeera, including communication between Israel’s Mossad intelligence agency and their South African counterparts. The documents indicate that in September 2002, the Mossad’s assessment over the pace of Iran’s nuclear development was not identical to that of Israel’s Prime Minister Benjamin Netanyahu.

Meanwhile, the Times and the Guardian both report that Russia is offering to sell Iran an advanced surface to air missile system which would radically strengthen its air defence, ultimately further complicating any potential strike against Iran’s nuclear facilities.

The Independent online reports that Israel’s Ambassador to the United Nations (UN), Ron Prosor, has appealed to the UN to condemn a Holocaust denial cartoon competition in Iran.

The Financial Times says that Netanyahu has attacked his main electoral rivals, the Zionist Union over its security credentials. In the wake of a terrorist stabbing in Jerusalem on Sunday, Netanyahu yesterday said that Zionist Union leaders Isaac Herzog and Tzipi Livni would “fold under the pressures” of terrorism.

The Telegraph says that the Grand Imam of Al-Azhar University in Egypt, considered the leading “moderate” Sunni religious authority, has claimed that Zionism is behind “major international plots targeting Arabs and Muslims” and general chaos in the Arab world.

In the Israeli media, the top story in Maariv and Israel Hayom is the emerging agreement between the international community and Iran over Tehran’s nuclear programme. Following talks in Geneva between US Secretary of State John Kerry and Iran’s Foreign Minister Mohammed Zarif, reports say that the two sides have agreed on a basic framework of a 10-year freeze on enrichment with Iran remaining at least a year from nuclear “breakout” during that time. However, the length of the freeze could be shortened if Iran complies. There appears to be little contingency for regulations following the 10-year period. Maariv calls the agreement “inchoate” and Israel Hayom’s Boaz Bismuth says it shows that Prime Minister “Netanyahu hasn’t been crying wolf for years without cause.”

The lead item in Yediot Ahronot is a report by Nahum Barnea, who says that Jewish Home’s Housing Minister Uri Ariel is planning to build 279,000 housing units across Israel during the coming years, with one sixth of the inventory set for construction in the West Bank. However, Barnea says it is unclear what the cabinet position is on Ariel’s plan.

Meanwhile, Israel Radio news reports that the main religious backer for Eli Yishai’s Yachad Party has said that all understandings with the Shas Party which Yishai used to head are void, due to the behaviour of some of Shas’s supporters.