This paper explores the socio-political dimensions of the strategies that have been employed in the UK against Islamic terrorism following the attacks of 9/11/2001 in the United States. The role that Muslims, as a suspect population, play must be contextualized within the socio-political framework of late modernity. This framework will be posited as a driver behind the increased isolation, exclusion and embitterment of Muslim communities in the UK. One of the main arguments proposed is a prompt for governments and counter-terrorism forces to: address the drivers and ideological grounds on which radicalization and terrorism pose a threat; tackle the socio-political grievances experienced by Muslims; and partner with and empower Muslim communities. The British multi-pronged counter-terrorism strategy will be explored in order to demonstrate that some soft measures aimed at de-radicalizing vulnerable individuals, marginalizing extremists, removing the human capital and support for terrorist organizations and improving both the dialogue with and the integration of Muslim communities within wider society should be among the top priorities. Such measures would be essential in order to achieve durable results in fighting Islamic terrorism at the grassroots level. In following such an approach, Britain will also have to face the challenges posed by both plural Muslim identities and communities and the differing Islamic and Western values and aim at achieving full social integration of Muslims within the wider society.