Lancashire Council of Mosques (LCM) Chairman Abdul Hamid Qureshi said many "have no confidence in the system".
Between July 2014 and January 2016, 124 incidents were reported but Qureshi thinks the true figure is much higher.
Clive Grunshaw, the
county's police and crime commissioner, said the issue of hate crime was one he
took seriously.
"Muslims are
generally mistrustful of the police, for all sorts of reasons," said
Qureshi.
He said this was
because "sometimes they report an incident and they are questioned about
other things, so they don't think there's any point in reporting".
Speaking about
Islamophobia, Grunshaw said: "We want people to come forward. We've also
launched Victims Voice to provide enhanced support."
The new helpline,
which cost £4,000 to set up and is part funded by Grunshaw's office, will
launch at the end of February.
It is believed to
be the first hotline run by an organization representing a group of mosques in
the United Kingdom.
Lancashire Police
said "third-party reporting centers" were, at their best,
"like-minded people sharing confidences".
A spokesman said
such schemes make it easier to support victims and prevent further abuse.
The LCM plans to
publicize its helpline in more than 100 mosques and Islamic schools, which it
has represented since 1989.
It will operate for
four hours on weekdays and people can report any type of abuse from verbal to
physical to staff, who have been trained by police.
Grunshaw said:
"It is really important for incidents to be reported, so that we have a
better understanding of what's happening in our communities.
"We know there
is under-reporting but gradually, the message is getting out there."
Calls will be
logged anonymously or by name, along with details of the crime the most
serious, with the permission of the caller, will be passed to police.
Source: Islamic News