Israel's Cabinet approved final details of a barrier to surround Jerusalem, redrawing the disputed city's boundary and shifting its demographic balance in favour of Jews.
Officials acknowledged that Sunday's decision means about 55,000 Palestinian residents will be cut off from their city by the separation barrier, designed to stop suicide bombers, but promised to try to alleviate hardships.
The Jerusalem barrier, part of a complex of obstacles Israel is building along and in the West Bank, is still under construction. On Sunday, the Cabinet ordered government offices to be ready with services for those affected by September 1.
In a statement after the meeting, the Cabinet said it sees "great importance in the immediate completion of the security fence in the Jerusalem area, in order to improve the level of personal security for the residents of Israel."
During four years of fighting, more than 100 Palestinian suicide bombers have crossed the unmarked and mostly unguarded cease-fire line between Israel and the West Bank to attack Israeli cities. In Jerusalem alone, 170 people have been killed in 22 suicide bombings. The last one there was in September 2004.
"We are not moving the fence for enjoyment or our pleasure," said Vice Premier Ehud Olmert, "but because there are security concerns of the highest level."
But security for Jews means hardships for Palestinians. Of Jerusalem's 700,000 residents, about 230,000 are Palestinians. Because Israel annexed the Arab section of the city shortly after capturing it in the 1967 Mideast war, Palestinian residents hold Israeli identity cards, though few have accepted Israeli citizenship.