With the deadline for a nuclear deal with Iran a week away, several papers assess the prospects of a pact. The Guardian reports that the agreement is “95 per cent” finished, but notes that France is unconvinced. It quotes a number of sources suggesting that there will either be a deal by next week or a collapse, but not a deadline extension. The BBC notes that the main issues of contention are reducing Iran’s enrichment capacity and the speed of removing sanctions. The FT suggests that a comprehensive deal can’t be reached by next Monday, because there are too many technical details, and that any framework deal would take six months or so to negotiate the details. It also notes that the collapse in the oil price makes Iran more desperate for sanction relief.

All papers report on a video which shows that Peter Kassig, an American aid worker held captive by ISIS, was murdered by the terrorist group.

The Telegraph reveals that the EU has drawn up a list of possible sanctions to be applied against Israel if the EU determines that Israel has made a two-state solution impossible. Possible sanctions include limiting cooperation with Israel and freezing trade deals.

The Telegraph and the Independent i report that a law to define Israel as a Jewish state has been delayed after Justice Minister Tzipi Livni blocked it at the Legislation Committee. The law will likely re-emerge.

The Guardian interviews Labour’s Sadiq Kahn about the Green Party, and Mr Kahn suggests that Labour’s condemnation of Israel’s actions in Gaza would be a possible draw for Green voters.

The FT reports that exploration of Israel’s offshore gas reserves has stopped because the energy companies are worried about regulatory risk, including the new law that 50 per cent of the gas must be reserved for the Israeli domestic market.

City AM reports that the Israeli economy contracted by 0.4 per cent in the third quarter of 2014, the first time in five years without growth. The Independent and Independent i suggest that the conflict over the summer led to the contraction as manufacturing and tourism were hit.

The stabbing of an Israeli man in Jerusalem last night makes several front pages. Yediot Ahronot reports that the man was stabbed by a screwdriver in central Jerusalem and then walked some distance for help. The attacker was believed to have fled to an Arab neighbourhood of Jerusalem. Too late for the print media, Israel Radio reports on a Palestinian bus driver found dead in an apparent suicide.

Many papers report the rumours of increasing instability in the Coalition government. Israel Hayom leads with the headline “Agreement or Elections”. Haaretz quotes the Ultra-Orthodox parties who claim to have been approached both by Prime Minister Benjamin Netanyahu to replace Yesh Atid in the coalition, and by Finance Minister Yair Lapid and Opposition leader Isaac Herzog to form a new coalition without Likud.

Haaretz and the Jerusalem Post cover a Bill to define Israel as a Jewish State, which was blocked by Tzipi Livni. They note that the Bill will now be presented to the full Cabinet following a decision by Mr Netanyahu.

Israel Hayom and Haaretz report that the Israeli ID card will be changed to allow for the details of same-sex parents to be included.