The Commission for Racial Equality (CRE) is blocking grants to ethnic minority projects that fail to promote "Britishness" and integration.

..."In the wake of what is happening globally - global events - we feel a new emphasis is needed.

"We want to instil a sense of Britishness. The project has to have an element of integration and an indication that it will lead to community cohesion.

"We are not funding any organisation which reinforces separatism. We will not encourage the emergence of isolationist groups."

Last week, Trevor Phillips said the term "multiculturalism" was of another era as the term suggested "separateness" and was no longer useful in present-day Britain.

Mr Ahmed agreed the comments marked a significant shift of emphasis for the CRE.