The Goverment is trying to avoid the arguement that Blair's involvement with the Iraq War is causing the recent terrorism at home.
UK officials are saying that the terrorists* are South Asian Muslims and not the Arab Muslims from Iraq.

The distinction doesn't fly in my book, but the political Orwellian re definitions are flying fast and furious lately.

*Frankly I think it is too soon to say who did what.
Perhaps the issue of guilt will remain clouded forever.
Some people still think it is too soon to say who shot JFK.