It comes as the Prime Minister faces renewed pressure to recognise Palestine as a state immediately and after he held an emergency call with France and Germany at the weekend.
The Prime Minister is focusing on securing aid for those on the ground and a “sustainable route” to a two-state solution, Downing Street has said, and emphasised that the UK recognising Palestine was a matter of “when, not if”.
Sir Keir has started working with France and Germany on a process to “bring about a lasting peace” in the Middle East and shared the plans with US President Donald Trump when they met in Scotland on Monday.
He is expected to share details with Arab states and other key allies in the coming days.
The Cabinet meeting, which some ministers are attending in person and others virtually, comes after Parliament broke for its summer recess last week.
Pro-Palestine protesters gathered outside Downing Street as the meeting took place.
Four people wearing white headdresses posed solemnly above what appeared to be a model shrouded corpse and crowd of people gathered banging pans with spoons, many of them wearing keffiyehs and carrying Palestinian flags.
A metres-long banner was held in front of the black gates in Whitehall reading “genocide in Gaza” and “death from famine and disease”.
Speaking on Tuesday morning, Technology Secretary Peter Kyle said he would not “pre-empt” the meeting, but added it was “right” to “assess what Britain can do” to ease the situation in Gaza.
He also said the Palestinian people should be “rewarded for what they’ve been through” and given the tools “to move them towards the kind of peace, stability and dignity that every citizen in every country is owed”.
Amid international alarm over starvation in Gaza, Israel announced at the weekend that it would suspend fighting in three areas for 10 hours a day and open secure routes for aid delivery.
The UK confirmed it was taking part in airdrops of aid into the territory.
Aid agencies have welcomed the new measures but said they were not enough to counter the rising hunger in the Palestinian territory.
Sir Keir said that the British public is “revolted” at the scenes of desperation in Gaza as he appeared alongside Mr Trump at his Turnberry golf course on Monday.
The US president hinted at sticking points in US-led negotiations over a peace deal, saying Palestinian militant group Hamas had become “very difficult to deal with” in recent weeks.
He suggested this was because they held only a small remaining number of Israeli hostages.
Sir Keir’s official spokesman said on Monday: “This week, the Prime Minister is focused on a pathway to peace to ensure immediate relief for those on the ground, and a sustainable route to a two-state solution.
“We are clear that the recognition of the Palestinian state is a matter of when, not if, but it must be one of the steps on the path to a two-state solution as part of a wider plan that delivers lasting security for both Palestinians and Israelis.”
Sir Keir has likened the plan he is working on with France and Germany to the coalition of the willing, the international effort to support Ukraine towards a lasting peace.
His spokesman said the plan would build “on the collaboration to date that paves the way to a long-term solution on security in the region”.
Sir Keir is meanwhile facing calls from a growing number of MPs to recognise a Palestinian state immediately.
More than 250 cross-party MPs have now signed a letter calling for ministers to take the step, up from 221 on Friday.
Business Secretary Jonathan Reynolds on Monday dismissed the idea that there is a split at the top of Government over when to recognise a Palestinian state, saying “we all want it to happen”.
Health Secretary Wes Streeting is among those to have signalled a desire for hastened action, calling for recognition “while there’s still a state of Palestine left to recognise”, while Justice Secretary Shabana Mahmood said the Government wants to recognise a Palestinian state “in contribution to a peace process”.
