Israel recalled its negotiators from Qatar on Tuesday, after considering mediated talks on a Gaza truce “at a dead end” due to demands by Hamas, a senior Israeli official said on Tuesday.

The official, who is close to the chief of the Mossad who is heading up the talks, accused Hamas leader Yahya Sinwar of sabotaging the diplomatic efforts “as part of a wider effort to inflame this war over Ramadan.”

The warring sides had stepped up negotiations, mediated by Egypt and Qatar, on a six-week suspension of Israel’s assault in return for the proposed release of 40 of the 130 hostages still held by Palestinian militant groups in Gaza.

Hamas sought to parlay any deal into an end of the fighting and the pull-out of Israeli forces. Israel ruled out this move, saying that it would eventually revive efforts to tear down the governance and military capabilities of Hamas.

Hamas also wants hundreds of thousands of Palestinians who fled Gaza City and surrounding areas southward during the first stage of the war to be allowed to return to the north.

The Israeli official said that Israel had agreed to double the number of Palestinians it would release, approximately 700 prisoners and allow some displaced Palestinians to return to northern Gaza.

Israeli Prime Minister Benjamin Netanyahu’s office said on Tuesday Hamas had made “delusional” demands, which it said showed that the Palestinians were not interested in a deal.

Hamas accused Israel of stalling at the talks while it carries out its military offensive.

The discussions, mediated by Egypt and Qatar, are continuing as a humanitarian crisis devastates Palestinians in Gaza with severe shortages of food, medicine and hospital care. Concerns are growing that famine will take hold.