At the High Court on Friday, judge Nicholas Stadlen granted Salah bail on condition that he wear an electronic tag, observe a night-time curfew, report daily to immigration officials and stay at the home of a friend in London.
He said he would not be released until late Monday, to give government officials time to carry out checks on the bail address.
Sheikh Raed Salah, 52, was detained on June 28 during a visit to Britain following an invitation by the Middle East Studies Center and the Palestinian Forum.
He was detained on the orders of Home Secretary Theresa May.
The judge also banned Salah from "public speaking" and any activity which might promote terrorism or criminal activity.
A government statement was issued to deport Salah from British territory after it said he was forbidden to enter the country. Immigration authorities said they were unaware how he managed to enter Britain.
The Islamic movement considered the deportation order an Israeli decision with British complicity.
The Islamic Movement is tolerated in Israel but is under constant surveillance because of its perceived links with the Palestinian militant Hamas movement that controls Gaza, as well as with other Islamist groups worldwide.
AFP contributed to this report
