The Nationality, Immigration and Asylum Bill could breach human rights legislation, an influential committee of MPs and peers has claimed.
The parliamentary joint committee on human rights identified 14 areas of the government's bill as "causing considerable concern on human rights grounds".
Home secretary David Blunkett's plan to prevent asylum-seeking children in accommodation centres from attending mainstream schools was one area singled out for criticisms.
"Separate education on the basis of ethnicity or national origins breeds and entrenches social and educational inequality, and inhibits or even deters integration," said the report of the committee.
The committee also singled out clause 81 of the bill, which gives immigration officers the power to deport some asylum seekers immediately if their applications were judged to be "manifestly unfounded".
There has been concern that asylum seekers would be returned to countries where they would be in danger before having the opportunity to appeal against the decision.
The committee also condemned Home Office delays in responding to its questions, which meant that it could not complete its report before the bill was considered by the House of Commons earlier this month.
It has recommended that in future the timetable for legislation should be delayed if departments cannot meet deadlines for replying to the committee's recommendations.
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