English reporter held hostage by ISIL 'coerced' into making video

A journalist who is being held hostage by Islamic State has been forced to speak positively about life in Iraq, Australia's justice minister says.

In the video, British journalist John Cantlie is shown "reporting" that life in Iraq is not dangerous and that the country should not be depicted as an unsafe place.

But Justice Minister Michael Keenan said the hostage was obviously being coerced by the "barbaric" group.

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"He has been used as a propaganda tool by the organisation that is holding him prisoner," Mr Keenan told reporters in Perth.

Mr Keenan said the government was constantly monitoring ISIL activities and doing everything it could to disrupt and destroy them in the Middle East.

"We are also doing everything we can here in Australia to contain and control the very small number of people who might fall under their influence," he said.

Mr Keenan said the government had invested heavily in Australia's security and policing agencies and modernised legislation to keep the community safe.