Palestinians die in Israeli raids

Palestinian officials said one person was shot dead in the Mughazi camp. An earlier Israeli air attack on the camp left one dead and 20 injured.

Israel has also dropped leaflets in Gaza warning anyone hiding weapons in their homes that they are in danger.

The offensive in Gaza was launched after an Israeli soldier was captured by Palestinian militants last month.

The fate of Corporal Gilad Shalit remains unknown but Israeli officials believe he is still alive.

The Gaza offensive also aims to stop rocket launches by Palestinian militants, who say such attacks are in retaliation for Israeli action against them.

'New policy'

Unnamed Israeli military officials told the Associated Press news agency that Israel was adopting a new policy of attacking homes in civilian areas where weapons, including homemade rockets, were stored.

They also told the news agency that civilians should be aware of the actions of their neighbours and, if militants were storing weapons in the area, their neighbourhoods could be attacked.

The warning leaflets, dropped in towns and villages throughout the coastal territory, said: "The life of all those who are holding military equipment and ammunition in their homes is in danger and they should leave the premises for their safety and that of their families.

"The Israeli defence force will strike and destroy all sites and buildings housing ammunition and military material."

In a separate aerial attack in southern Gaza, Israeli warplanes blew up three tunnels, which they claimed were being used by militants to bring weapons into the territory.