This paper seeks to critically examine the emergence of contemporary religious fundamentalisms and how they have been able to acquire influence in a way that has opened new ‘fault lines’ within multiculturalist public policy discourse. Specifically, the paper is interested in understanding the curiously paradoxical place of religion and faith based groupings in the contemporary multicultural polity, and the confusion, and in some instances conflicts, this has caused amongst the Left. This is illustrated through an extended examination of the Shabina Begum case concerning a Muslim schoolgirl and her demands to wear the jilbab, a specific religious headscarf, to school. It is argued that, in part, these ideological fault lines have resulted from an uncritical embrace by some progressives of ideas associated with postmodernist thinking; in particular the uncritical assertion of virtues of anti-universalism and cultural relativism. This then leaves an urgent task for progressives to think through some alternatives based on a re-articulation of a new political discourse of egalitarianism which is unashamedly universalist and secular.