Me, speaking as the Devil's Advocate, Israel is rightly refusing those 'concessions'. Why so? Because Hamas by merely surviving in Gaza enough to do a military Victory Parade and with Hamas' declared intentions to re-launch another October 7 like attack, Israel simply can't accept the terms of a 'permanent ceasefire', withdrawal from Gaza. That would be an assured Gazans' victory and absolutely a strategic defeat of Israel! And that defeat would mean the Israeli deterrence further eroded and more exodus of Jews from Israel.
On the other hand, Gazans can't afford to handover all the hostages without a long-term/permanent ceasefire as they know what would follow after that: Whatever little leverage the Gazans have will be gone.
Having said this, the Gazans can still secure a victory of some kind if they get supplied enough weaponry and food. Time is on the side of the Gazans and time is not on Israeli side. Remember the famous Taliban saying: You [Americans] have the watch, but we have the time! Such is the nature of asymmetric warfare and wars of attrition.