Mosques and local Muslim community groups are to be given money and direct access to government ministers under a radical plan to isolate Britain’s largest Islamic organisation, which the Government accuses of endorsing violent extremism.

The move follows criticism of the Muslim Council of Britain (MCB), which claims to represent half of the country’s Muslims, by Hazel Blears, the Communities Secretary. Ms Blears attacked the group for refusing to sack its deputy leader, Daud Abdullah, after he endorsed a pro-Hamas declaration that appeared to call for violence against Jews and Israel and condone attacks on British troops.

The Government is planning to deny the organisation’s representatives ministerial briefings across all departments in a move designed to undermine its standing among British Muslims.

Sadiq Khan, the Minister for Community Cohesion, told The Times: “The days of lazy politicians just speaking to one or two powerful community groups or leaders are gone. You need to speak to individuals and local community groups, even though there will still be a role for umbrella groups to play.”

It is understood that even some of the MCB’s supporters within Government, including David Miliband, the Foreign Secretary, and Jack Straw, the Justice Secretary, have now turned their backs on the organisation, which has had a difficult relationship with Labour ever since it refused to attend Holocaust Memorial Day in 2006.

A Government source told The Times: “The Government is already talking about different ways to engage with the Muslim community instead of just through large organisations. It will deal with regions or trusted individuals. Why do you need to deal with national umbrella bodies?”

The clash between the Government and the MCB coincided with the launch this week of Labour’s new counter-terrorism strategy, Contest 2, aimed at challenging those who condone violent extremism and terror attacks.

The government source said that Dr Abdullah’s endorsement of the pro-Hamas declaration at a conference on Gaza in Istanbul last month threatened to radicalise Muslims and could be used as a justification for attacking Jews and British troops. The declaration celebrates Hamas’s “victory” against "Zionist Jewish occupiers”.

It also states that the "Islamic nation" should regard the foreign warships in Muslim waters “as a declaration of war, a new occupation, sinful aggression, and a clear violation of the sovereignty of the nation. This must be rejected and fought by all means and ways."

This has proved especially contentious in government circles because it followed Gordon Brown’s offer of Royal Navy resources in January to monitor events in Gaza and prevent weapons being smuggled into the territory.

The source said: “That’s the kind of rhetoric that the London bombers used to justify their attacks. And the message in this case is not coming from the internet or Bin Laden, but from the second most senior guy in Britain. All it takes is for one synagogue to be attacked, or for one Jewish person to be attacked or one British troop to be attacked and the court of public opinion will completely turn against Muslims.”

The row has split the MCB’s leadership, with some accusing Dr Abdullah of not properly reading the declaration before signing it. “He is really stupid to have signed that statement,” an MCB insider told The Times, “because it has given ammunition to Hazel Blears and the Government to sideline the MCB.”

However, Dr Abdullah rejected the Government’s accusations, saying they were a “malicious assault on my beliefs, words and actions”. He reiterated his stand last week, saying in a statement signed by several prominent Muslims, including Mohammad Sarwar MP, that he does not condone the killing of any human being or attacks on British soldiers.

Ms Blears, who on March 13 called on the MCB to sack Dr Abdullah, cautiously welcomed his statement as a “first step” to resolving the feud but demanded further clarification on the organisation’s position.

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