European Union leaders decided on Wednesday to step up sanctions against Iran after Tehran's missile and drone attack on Israel left world powers scrambling to prevent a wider conflict in the Middle East.

The summit in Brussels is the first meeting of the EU's 27 national leaders since Saturday's attack, more than six months into the war between Israel and the Iran-backed Palestinian militant group Hamas.

Israel has signaled that it will retaliate, but has not said how. EU leaders condemned the Iranian attack, reaffirmed their commitment to Israel's security and called on all sides to prevent more tensions, including in Lebanon.