123everton,
Are you referring to all Muslims, or the hardcore fundamentalists?
You see, the problem with 'dealing with Muslims', is that you lump a lot of disparate people together. A 47 year old Morroccan-born Muslim doctor living in Aberdeen and a 15 year old Muslim girl born in Leicester are very different from a radicalized Pakistani lad brain-washed by a rabble-rousing Iman in London.
It's like asking "How should we treat White men", based on the actions of football hooligans or paedophiles.