A three-day ceasefire between Israel and Hamas - which began at 6am - appears to be holding. Israel says it has withdrawn its ground forces from Gaza after achieving its main aim - to destroy tunnels dug by Hamas under the border.

Talks on a longer truce will now be held in Egypt.

Hamas spokesman Sami Abu Zuhri says his organisation, like Israel, has specific demands:

At least 1,900 Palestinians and 67 Israelis have been killed in the four week conflict.

Civilian Zeina Nessan has been speaking to reporter Shona Murray in Northern Gaza. She says the ceasefire means nothing until the blockade is lifted:

Israeli government spokesman Mark Regev says they will be keeping their guard up:

It comes despite a rapid exchange of fire in the minutes leading up to the truce, with Hamas militants launching rockets over the border and Israeli warplanes carrying out airstrikes.

Hamas claimed the rockets were launched in retaliation for Israel's "massacres". Israel's anti-missile system shot down one rocket over Jerusalem, while another struck a house in a town near Bethlehem.

Israeli warplanes also carried out at least five airstrikes before the ceasefire took hold and the skies fell silent.

Israeli armour and infantry has now been withdrawn from the Gaza Strip. Israel says its troops and tanks are to be redeployed in "defensive positions" near the border.

Adding a note of caution, an official speaking on condition of anonymity said Israel would be watching the day unfold "with a certain amount of scepticism".

The truce follows three days of negotiations in Cairo attended by a Palestinian delegation, but shunned by Israel. Egypt is now expected to host indirect talks aimed at thrashing out a more lasting deal.

Hamas has demanded Israel withdraw from Gaza and end a blockade of the territory. It has also called for its prisoners to be released and for international assistance in rebuilding Gaza.

Bassam Salhi, a member of the Palestinian delegation, admitted brokering a peace deal which satisfies both sides will prove difficult.

"It's going to be tough negotiations because Israel has demands too" he said.

More than 20 Palestinians were killed on Monday, including a girl (8) who died in an Israeli airstrike on a refugee camp in Gaza City, just minutes into a seven-hour partial truce.

Our reporter Shona Murray went to the little girl's house and spoke to a neighbour about the attack for Newstalk Breakfast:

The Israeli military said it was targeting an "operative threat" and rocket fire in the strike. Jerusalem, meanwhile, was rocked by two attacks which appeared to be in retaliation for violence in the Gaza Strip.

The driver of a digger was shot dead after hitting a bus, killing one person, in what Israel described as a "terrorist attack". Several hours later a gunman shot and wounded an Israeli soldier before escaping on a motorbike.

Israel launched its military operation on July 8th with the stated intention of ending "persistent" Hamas rocket attacks. It subsequently launched a ground offensive aimed at destroying cross-border Hamas tunnels, an objective Israel says it has now achieved.

UK minister resigns over Gaza

Meanwhile, a UK Foreign Office minister has resigned delivering a damning verdict on British Prime Minister David Cameron's failure to take firmer action on Gaza.

Sayeeda Warsi said in her resignation letter that the British government's "approach and language" during the month-long conflict in Gaza has been "morally indefensible".

In a caustic appraisal of Mr Cameron's policy on the Middle East Peace Process she says it has caused significant damage to Britain's international standing.

She wrote in her resignation letter "My view has been that our policy in relation to the Middle East Peace Process generally but more recently our approach and language during the current crisis in Gaza is morally indefensible, is not in Britain's national interest and will have a long term detrimental impact on our reputation internationally and domestically"

She announced her departure on Twitter, where she has been increasingly vocal in her condemnation of Israel's actions. Eleven days ago she wrote: "Can people stop trying to justify the killing of children. Whatever our politics there can never be justification, surely only regret #Gaza".

Ms Warsi's resignation letter to David Cameron

It follows Mr Cameron's failure on Monday to back the United Nations' position over the shelling of a UN-run school where Palestinian refugees were sheltering from the violence, killing at least 10 people.

The UN Secretary General Ban-Ki-moon called the attack "a moral outrage and a criminal act". When asked, Mr Cameron would say only that it was "an appalling loss of life".

There has also been increasing criticism over the stg£42m (€52.9m) of arms exports licences British defence manufacturers have with Israel since 2010 to supply ammunition, drones and armoured vehicles.

The equipment has been used in the attacks on Gaza and the UK government has agreed to review the licences.

Ms Warsi also took the opportunity in her letter to Mr Cameron to deliver a highly critical appraisal of a recent reshuffle - saying that in recent weeks the "experience and expertise" of Dominic Grieve and Ken Clarke had been "very apparent".

Both had opposed plans to limit the power of the European Court Of Human Rights in the UK in a move which could see Britain expelled from the Council of Europe, which upholds the European Convention on Human Rights.

Originally posted 06:34