RELATIONS between Washington and Moscow reached near-Cold War levels of strain yesterday following America’s decision to expel 35 Russian diplomats in a row over alleged hacking.

Barack Obama had ordered the Russians be thrown out over CIA claims Moscow undermined this year’s presidential election.

The President also ordered sanctions be placed on two Russian compounds in Maryland and New York, with no-one allowed in.

Russia’s Foreign Minister Sergei Lavrov had proposed expelling 35 US diplomats in retaliation, as is the norm in international relations, but yesterday, Vladimir Putin calmly said that would not happen and that he would not sink to “the level of this irresponsible kitchen diplomacy”.

Russia, Putin said, would simply wait and work with Donald Trump when he becomes President in 20 days’ time. “We reserve the right to retaliate, but we will not sink to the level of this irresponsible kitchen diplomacy. We will take further moves on restoring Russian-American relations based on the policies that the administration of president-elect Donald Trump adopts,” the Russian President said in a statement on the Kremlin’s website.

Trump tweeted last night: "Great move on delay (by V. Putin) - I always knew he was very smart!"

Putin went on to wish the Obamas a Merry Christmas and invited US diplomats and their families to join him over the festive period, saying: “Moreover, I invite all children of American diplomats accredited in Russia to the New Year and Christmas party in the Kremlin.”

Russian Prime Minister Dmitry Medvedev was more outspoken in his criticism. “It is regrettable that the Obama administration, which started out by restoring our ties, is ending its term in an anti-Russia death throe. RIP,” he wrote on his official Facebook page.

US intelligence officials believe Russia hacked the computers of key Democrat campaigners in a bid to influence the election, and that Putin personally directed the efforts to damage Hillary Clinton’s campaign.

On Thursday, Obama said all Americans should be alarmed by Moscow’s interference. He said: “These actions follow repeated private and public warnings that we have issued to the Russian government, and are a necessary and appropriate response to efforts to harm US interests in violation of established international norms of behaviour.”

Though the measures taken by Obama were his strongest yet in the battle over the hacks and leaks that dominated this year’s election, he is only president for less than three weeks. Trump could easily reverse Obama’s decision and allow the expelled officials back into the United States once he takes office.

The president-elect has pooh-poohed the allegations: “It’s time for our country to move on to bigger and better things,” he said on the steps of Mar-a-Lago, his Florida house, where he stood with boxing promoter Don King.

“Nevertheless, in the interest of our country and its great people, I will meet with leaders of the intelligence community next week in order to be updated on the facts of this situation.”

Incoming White House Chief of Staff Reince Priebus told Fox News he did not condone foreign governments hacking US institutions.

“It’s wrong and it’s something we don’t agree with,” Priebus said. “However, it would be nice if we could get to a place where the intelligence community in unison can tell us what it is that has been going on and what the investigation was and what it has led to so we can respond.”

Meanwhile, the US criticised Theresa May after she suggested Secretary of State John Kerry was wrong to call Benjamin Netanyahu’s government the “most right-wing in Israel’s history”.

A spokesman for the Prime Minister said it was not appropriate for Kerry “to attack the composition of the democratically elected government of an ally". The US state department said it was “surprised” by the UK’s response.