Theresa May and Donald Trump discussed their differing positions on the controversial American decision to recognise Jerusalem as the capital of Israel during a telephone call on Tuesday.
The Prime Minister and the US president also talked about the civil war in Yemen and the importance of a swift post-Brexit trans-Atlantic trade deal.
Mrs May spoke to the American president after Britain joined 13 other members of the United Nation’s Security Council in backing a resolution, vetoed by the US, which rejected the recognition of Jerusalem as the capital of Israel.
A Downing Street spokesman said: "They discussed the different positions we took on the recognition of Jerusalem as the Israeli capital, and agreed on the importance of the US bringing forward new proposals for peace and the international community supporting these efforts.
"The Prime Minister also raised Yemen, highlighting our ongoing deep concerns at the humanitarian situation. They agreed on the vital importance of reopening humanitarian and commercial access to prevent famine and alleviate the suffering of innocent Yemenis.
"The Prime Minister updated the president on the recent good progress of the Brexit negotiations, and the president set out the progress he had made on his economic agenda. They agreed on the importance of a swift post-Brexit bilateral trade deal.
"They wished each other a very merry Christmas and looked forward to keeping in close touch."
Mrs May also offered her condolences to the president for the loss of life in a train crash in Washington state this week.