GRANTS worth £60,000 are being pumped into schemes to tackle Islamic extremism in Waltham Forest.

The Government money, from its new Pathfinder Fund, is being split between two groups which work with young people - Active Change Foundation (ACF), based in Lea Bridge Road, Leyton and the Leytonstone Muslim Community Centre.

Each group secured £30,000 to set up a pilot project between now and March 31 2008, administered though Waltham Forest Council.

A council spokesman said he anticipated further funding would be made available at the end of the pilot.

For ACF's director, Hanif Qadir, the money comes after four years of battling to get funding, and repeated warnings about the danger from extremists preying on vulnerable youngsters.

His was one of four groups who applied for the full £60,000 grant, which tasks groups to create young Muslim leaders to qualify for the money.

But while acknowledging it as a positive step, he believes the grant conditions will change the way in which his group works, He said: "They want us to scale our plans down and to work in partnership with the police and with the other group. I've not got a problem with that but it means we won't be able to help as many young people."

He is also unsure that the Government targets can be achieved by splitting the fund because both groups will replicate staffing and administration costs.

"They want us to do this half-cocked project and ACF isn't about that. It's not going to really work and will be a waste of resources.

"If you value both projects then find some more money or choose between them."

Waltham Forest Council's cabinet member for communities and housing, Cllr Marie Pye, said councillors believed giving the money to two groups would enable them to reach the maximum number of young Muslims in the borough.

She said: "We are not seeking to water down the proposal in any way. We feel both organisations can deliver something positive by working together with the council and the police."