I don't mind the profiling in general, but there should be random searches of other ethnic groups -- there may be a Timothy McVeigh or a self-hating white kid like the American Taliban.
I think that the MP's comments were made in the context of how a limited set of anti-terror resources can be used most effectively, given the existing known threats. Although it's always possible for anyone to commit a terrorist act, the current threat is coming almost exclusively from a specific group of people, and so the greatest focus should be placed on addressing the threat that is most easily recognized and thwarted. That being said, my great hope is that, as you say, all law enforcement personnel will keep their eyes open (as I'm sure they are) and if they do indeed see a sweating, nervous, jumpy and pale Swedish grandmother carrying a Koran who is wearing a heavy, bulky overcoat on a hot, sunny day with odd bulges in it and wires coming out of the pockets, that they will indeed stop her, using whatever means are appropriate to the situation.