Former Labor leader turned political commentator Mark Latham has slammed the conventional wisdom of being nice to Muslims in the hope they will tip police off about a potential terrorist attack.

Mark Latham says the public is sick of having to 'be nice' in the wake of terrorist attacks this week in London and Melbourne.

'The public opinion now is at a real tipping point, a real tipping point where we've had enough of being nice. It's not working,' he told his Mark Latham's Outsiders program on Wednesday night.

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Former Labor leader Mark Latham said the 'be nice' attitude towards Muslims had failed

Yacqub Khayre, a Somalian-born refugee, was inspired by ISIS to kill a man in Melbourne

'The evidence suggests the 'be nice' faction is in a state of delusion and they're not facing up to the realistic issues.

'We need to form a realistic faction. Be realistic about the problem of radical Islamic terrorism and confront it head on.'

Mr Latham said the idea that terrorists weren't real Muslims needed to be challenged, after Somali-born refugee Yacqub Khayre killed a man at a serviced apartment in Melbourne during a Monday night siege, which ISIS claimed responsibility for.

'The 'be nice' do gooders in the debate basically say that terrorism of this kind, they're not really Muslim, this is not really a reflection of Islam and you don't want to antagonise these communities because it will make them more dangerous, more radical and the security agencies worry about losing informants inside Islamic communities to tip them off about potential dangerous events,' he said.

Mark Latham said London Mayor Sadiq Khan was an 'imbecile' for saying London was the world's safest global city in the wake of Saturday night's terrorist attack

Emergency crews treat the injured on London Bridge following a terrorist attack on Saturday

'We've had the prevailing conventional wisdom from what I would call the 'be nice faction'.

Mr Latham, who has recently joined the libertarian Liberal Democrats, said the London Muslim Mayor Sadiq Khan's declaration that London was the world's safest global cities was an example of the 'be nice' approach failing.

It came after three knife-wielding Islamist terrorists killed eight people in London on Saturday night.

'How can you talk about London as a safe city after people have been run down by these terrorists on London Bridge after the same terrorists have rushed into restaurants in Borough Markets with knives trying to murder people?,' Mr Latham asked.

Mark Latham said ASIO boss Duncan Lewis was 'delusional' for ruling out the link between terrorists and refugees

'There's nothing safe about London in those circumstances. This bloke is an absolute imbecile and I don't blame Donald Trump for a moment for getting stuck right into him.'

He also added Australian Security and Intelligence Organisation director-general Duncan Lewis to the 'be nice faction' list for telling a Senate committee there was no link between refugees and terrorism.

'How delusional can you be?,' Mr Latham asked.

'The 'be nice' faction is completely out of touch with reality.

'We need to have a hard-edged, vigorous response to Islamic terrorism.'