The government's tough anti-terrorism legislation remains necessary, an independent report has concluded.

Lord Carlile's second report on the operation of the Terrorism Act 2000 found that it was "fit for purpose".

The peer is tasked with considering the operation of the act's provisions in order to establish any unfair or improper use of the powers.

The legislation covers wide ranging police powers of arrest and detention, proscription of terrorist organisations and issues surrounding port and border security.

"Overall it is my view that the act is necessary, the provisions are functioning satisfactorily and it continues to be fit for purpose," said Lord Carlile.

"I have raised particular issues in the report relating to stop and search powers and look forward to discussing these in greater detail shortly."

The report expressed concern at levels of police training and the way in which different legislative powers of stop and search can be combined by officers on the front line.

Home secretary David Blunkett welcomed the findings.

"I am pleased that once again Lord Carlile is satisfied that the powers in the Terrorism Act 2000 have been used properly," he said.

"As he himself says in his report "there are organisations that present a significant threat to the security of the state and its citizens" and it is against this background that the government works tirelessly to protect the public.

"Of course, national security must always be balanced against individual freedoms and I am glad that Lord Carlile has recognised that the powers within the act are necessary."

The home secretary said officials were currently reviewing the guidelines covering stop and search powers.