How far will Europe go to stop terror?

Experts aren't so sure. "I'm not sure there is a demonstrable loophole that can be closed here," says one former intelligence officer familiar with European counterterrorism efforts. "They are saying they want access to records as preventive measures, which means you'd need access before the event. That really means surveillance."

Bob Ayers, a former US intelligence officer and managing director of Ayers and Associates, a consultancy, says: "As a citizen in a free society, I am troubled by the thought that governments will be monitoring communications patterns, even if the reason is a mass murder, a heinous crime.

"Once you've opened the door it's very difficult to understand where this surveillance will stop," he adds.

The European Parliament has already expressed concern about the proposals to force telecoms firms to keep traffic data for a year.

"It would be absurd to have mass surveillance while terrorists using pay-as-you-go phones or Internet cafes would escape detection," said Sarah Ludford, a member of the European Parliament.

"That is why many member states as well as the European Parliament are hesitant about overturning the general rule in EU law requires deletion of the data after a few months once bills are settled, and prohibits using data for purposes for which it was not collected."

But Clarke said questions of civil liberties had to be seen in the context of the 7/7 attacks, which killed more than 50 and injured more than 700.

"I argue that it is a fundamental civil liberty of people in Europe to be able to go to work on their transport system in the morning without being blown up and subject to terrorist attack," he said.

"We have to guarantee the fundamental right of security to citizens," said Franco Frattini, vice president of the European Commission after a two-minute silence across Europe for the victims of the London bombings. "It is a precondition for all other freedoms. If we are not free to go into the Underground, our society is not free."

France's move to restore border controls impinges on another cherished European liberty - the freedom of movement enshrined in the Schengen agreement, which came into force in 1995. Interior Minister Nicolas Sarkozy said the move was justified. "If we do not reinforce border controls when around 50 people die in London, I do not know when I would do it," he said.

Some experts assert that this is a freedom that Europe might have to learn to live without.

"We have to realize more and more that Schengen is a gift to terrorists," says Mr. Tophoven. "It's difficult to give it up, but if I were a terrorist, I would see the Schengen agreement as a gift."

Mr. Allin says he doesn't think Europe will sacrifice Schengen, but adds: "There is a mismatch between having effectively no borders and having police and intelligence services that still think in terms of national borders. That's an obvious problem."

Britain is poised to set the pace on fresh antiterror legislation. British Prime Minister Tony Blair will meet soon with opposition parties, Muslim community leaders, and security services to discuss stricter laws to curb terrorism.

And Clarke has begun an immediate review of powers he already has to exclude people from Britain who are inciting terrorism, a Blair spokesman said Thursday.

"We stand ready to give ... the security services any powers they need," the spokesman said..

• Material from wire services was used in this report.

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