He said too many people accepted the extremists' analysis that the military actions taken by the West following the 9/11 attacks were directed at countries because they were Muslim and that it supported Israel because Israelis were Jews while Palestinians were Muslims.
'We should wake up to the absurdity of our surprise at the prevalence of this extremism', he said
'Look at the funds it receives. Examine the education systems that succour it. And then measure, over the years, the paucity of our counter-attack in the name of peaceful co-existence. We have been outspent, outmanoeuvred and out-strategised'.
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Mr Blair's warning comes as the French issued their most extreme warning in recent years about the dangers of visiting Britain, saying a terrorist attack is ‘very likely’.
A dramatic statement on the website of the Ministry for Foreign Affairs adds that visitors need to exercise ‘extreme vigilance’.
While Britain and the USA have already warned people to be careful when travelling in Europe, the French advice is by far the most extreme to date.
It invokes the 1990s and early 2000s when Gallic secret agents regularly monitored suspected Islamic radicals in a city referred to by the French as ‘Londonistan’.
Sidiqi said Ilyas Kashmiri, an Al Qaeda commander linked to the 2008 attacks in Mumbai in India that left 174 people dead, had told him that teams had already been sent to Europe to launch similar assaults.
The United States and Britain warned their citizens on Sunday of an increased risk of terrorist attacks in Europe, with Washington saying al Qaeda might target transport infrastructure.
Britain raised the terrorism alert level in its advice for travellers to Germany and France to ‘high from ‘general,’ while leaving the threat level at home unchanged at ‘severe’.