International and domestic political polarisation, eroding trust in institutions and the rapid uptake of conspiracy theories have put Australia at a probable risk of a terrorist attack or attack planning.
An increasing number of people are engaging in anti-government and anti-authority violent extremism, anti-Semitism, Islamophobia and new technologies have allowed these people to produce, disseminate and amplify messages at an "unprecedented scale", according to a national security report.
In response, the federal government has released a strategy to prevent extremism and deradicalise Australians with a $106 million commitment over four years to improve support services and awareness, and bolster relationships across academia, industry and international partners.
"As the threat level has evolved, the government's response needs to evolve as well": Tony Burke. (Dominic Giannini/AAP PHOTOS)
"The nature of radicalisation itself has changed," Home Affairs Minister Tony Burke told reporters in Melbourne on Friday.
Australians are being radicalised faster, at a younger age and often through online spheres like gaming platforms.
Many of these people also no longer align with a single ideology and are instead combining multiple beliefs to create new hybrid principles to justify violence, the report found.
This has created challenges for deradicalisation programs as it is difficult to tailor measures when ideologies are fluid or unclear.
"As the threat level has evolved, the government's response needs to evolve as well," Mr Burke said.
In collaboration with the states and territories, the federal government will launch a new national support and intervention program to help disengage Australians from violent extremism and re-integrate them into the community.
Part of its funding will also contribute to the work of a youth and mental health advisory group, which will help mitigate the radicalisation of young Australians.
"We want to ensure young people don't go down the path of violent extremism and fall prey to radicalising forces," Youth Minister Anne Aly said.
Any Australians who are concerned about their loved ones will be able to seek confidential advice as the federal government will draw inspiration from a NSW-based program, and deliver a website and referral service at a national level.
The plan follows a report from Five Eyes countries - Australia, the UK, the US, Canada and New Zealand - about concerns over online youth radicalisation.
It revealed a 16-year-old investigated by Australia's Joint Counter-Terrorism Team had urged members of their extremist online community to prepare for a war to "defend the white race" and used their forum to discuss carrying out a mass killing offshore, live-streaming a shooting on Facebook and request bomb-making help.
In April, a teenager was accused of stabbing Assyrian bishop Mar Mari Emmanuel in Sydney during a live-streamed service in an incident designated by police as "religiously motivated extremism".