MPs have urged internet service providers (ISPs) to take more responsibility for the content they "host", alarming internet rights groups who argue the proposals will lead to web censorship.
After an eight-month inquiry, the Home Affairs Committee has now published a report which argues the internet is one of the most significant causes of violent radicalism - more so than prisons, universities or places of worship.
The committee said the government needs to work with ISPs to develop a code of practice for removing material promoting violent extremism.
"The conviction last week of four men from London and Cardiff, radicalised over the internet, for a plot to bomb the London Stock Exchange and launch a Mumbai-style atrocity on the streets of London, shows that we cannot let our vigilance slip," said committee chairman Keith Vaz.
"More resources need to be directed to these threats and to preventing radicalisation through the internet and in private spaces. These are the fertile breeding grounds for terrorism."
Open Rights Group executive director, Jim Killock, criticised the committee's proposals for removing material from web sites.
"What [the MPs] are asking for is censorship," Killock said.
Furthermore, the ISPs would only be able to remove offending content if it were hosted on UK-based web sites, he added. "But in many case it isn't."
Killock also expressed concern that the MPs had not felt the need for courts to be involved in the process.
"I just don't think anyone has really thought this through," he added.
"No technical experts have even been invited to the discussion."
The report is published as the internet faces the threat of increased regulation from a number of directions, including the US Stop Online Piracy Act (SOPA) and the international Anti-Counterfeiting Trade Agreement (ACTA).
Microsoft receives a 30 per cent cut of all purchases on the Xbox digital store
Credit card thieves used Apple ID accounts to buy and sell virtual currency for Clash of Clans and Clash Royale and Marvel Contest of Champions
$5.1bn fine further evidence that the EU is anti-US, claims Trump
New cable will connect Virginia to France