Britain, Australia and Canada will launch a £3 million ($4 million) fund on Thursday to help support peace in Israel and Palestine.
The initiative, dubbed the "International Peace Fund," is intended to tackle the root causes of the Israel-Palestine conflict and pave the way towards a two-state solution.
It will draw on the United Kingdom's experience in Northern Ireland and current work in the Western Balkans, investing in community projects, youth groups and civil society organizations.
UK Foreign Secretary Yvette Cooper said the fund would "support those working tirelessly to foster understanding between Israeli and Palestinian communities."
She said: "When generations of Israelis and Palestinians have grown up with cycles of conflict and violence, we also need to support the local community organisations who are building dialogue, peace and trust across communities."
Cooper is expected to unveil the fund during a meeting with her Australian and Canadian counterparts, Penny Wong and Anita Anand, at her official country residence, Chevening, in Kent.
Each country has put £1 million into the fund, which will seek to recruit other donors once operational.
Beneficiaries of the funding have not yet been selected.
Thursday's talks are expected to include discussion of the wider Middle East conflict, Iran's blockade of the Strait of Hormuz and the safety of Jewish communities following antisemitic attacks in the UK, Canada and Australia in the past year.
On Tuesday, the three nations announced sanctions along with France and Norway on illegal settlers in the West Bank over violence against Palestinians.
