West Midlands MEP Bill Etheridge is planning a fresh bid to become the new leader of UKIP .
He said: "I may well put my name forward. It's a very strong possibility".
He said UKIP could regain support by focusing more on the advantages that Brexit would bring, including a boost for manufacturing.
The MEP also issued a defence of controversial Birmingham political Enoch Powell.
Mr Etheridge, who is also a Dudley councillor, said there were parts of Mr Powell's "rivers of blood speech" that had come true.
Referring to the 2017 terrorist attack in Westminster, in which five people died as well as the terrorist, Mr Etheridge said there had been "rivers of blood on Westminster Bridge".
He has announced that he will probably stand for the UKIP leadership after party members sacked former leader Henry Bolton at an extraordinary general meeting, held in Birmingham on Saturday.
Mr Bolton faced calls to quit after it emerged his partner Jo Marney sent racist messages about Prince Harry's fiancée Meghan Markle.
MEP Gerard Batten will take over as interim leader and there will be a leadership election within 90 days.
Mr Etheridge stressed that he would back Mr Batten as interim leader.
Some of Enoch Powell's predictions came true
Mr Etheridge's statement defending Enoch Powell follows the announcement that Labour MP Ian Austin is to host an anti-racism rally on the 50th anniversary of Mr Powell's controversial speech.
Mr Powell, a Wolverhampton MP, told an audience in a Birmingham hotel that allowing mass immigration into the UK was "like watching a nation busily engaged in heaping up its own funeral pyre".
Mr Etheridge said: "Sadly there are parts of his speech that have become reality in 21 century Britain."
He added: "We not only have gun crime rife across Birmingham but arrests of jihadis in Tipton. Did Mr Austin not see the rivers of blood on Westminster Bridge, or was he safe in his little elitist bubble, oblivious to reality?
“I can only conclude that Mr Austin must be living in a parallel universe to the one ordinary people are in."
Mr Etheridge told Birmingham Live that he condemned some of the language used by Mr Powell in the speech.
Birmingham Live has invited Mr Austin to comment.
Speaking last week, Mr Austin said: "Powell's terrible predictions have never become true. Instead, the West Midlands is home to communities in which people from different countries, backgrounds and cultures work and live together harmoniously."
UKIP must talk more about the economy
Speaking to Birmingham Live, Mr Etheridge said UKIP was in a difficult position but its fortunes could be revived. And he said the party should talk more about how its plans would improve standards of living.
He said: "We always talk about Brexit and the negative problems with the EU.
"We don't discuss what the positive alternatives could be.
"For example, a renaissance in manufacturing industry, once we are no longer subject to the directives and regulations of the EU.
"Also, a more completive and simplified tax regime. If we explain it properly, we can show people how we can be better off outside the EU.
"We can make a strong case for why a clean Brexit and full independence can make people better off."
The White Pendragons
Mr Etheridge has come under fire for posing for photographs with members of a group called the White Pendragons.
White Pendragon activists attended a pro-Brexit rally organised by Mr Etheridge in Dudley on February 10.
And the MEP tweeted a photograph of himself posing with White Pendragon activists, saying: "Thank you to the Dragons for supporting our Brexit protest in Dudley today."
The group came to attention in January when they interrupted a speech by London mayor Sadiq Khan and attempted to perform a citizen's arrest on him.
Anti-fascist organisation Hope not Hate describes them as a "fringe far-right group".
The group's website says they want to outlaw the Fabian Society, a movement associated with the Labour Party, which they say was created "for the purpose of subverting the existing order and establishing a Socialist World Government controlled by its leaders and by the financial interests associated with them."
Mr Etheridge told Birmingham Live: "I don't agree with everything about them. I am not a member.
"My message was that when it comes to campaigning for independence from the EU, I am happy to work with other groups as long as they act within the law and behave peacefully."