The decomposability number of a von Neumann algebra $\m$ (denoted by $\dec(\m)$) is the greatest cardinality of a family of pairwise orthogonal non-zero projections in $\m$. In this paper, we explore the close connection between $\dec(\m)$ and the cardinal level of the Mazur property for the predual $\m_*$ of $\m$, the study of which was initiated by the second author. Here, our main focus is on those von Neumann algebras whose preduals constitute such important Banach algebras on a locally compact group $G$ as the group algebra $\lone$, the Fourier algebra $A(G)$, the measure algebra $M(G)$, the algebra $\luc^*$, etc. We show that for any of these von Neumann algebras, say $\m$, the cardinal number $\dec(\m)$ and a certain cardinal level of the Mazur property of $\m_*$ are completely encoded in the underlying group structure. In fact, they can be expressed precisely by two dual cardinal invariants of $G$: the compact covering number $\kg$ of $G$ and the least cardinality $\bg$ of an open basis at the identity of $G$. We also present an application of the Mazur property of higher level to the topological centre problem for the Banach algebra $\ag^{**}$.

Willis's structure theory of totally disconnected locally compact groups is investigated in the context of permutation actions. This leads to new interpretations of the basic concepts in the theory and also to new proofs of the fundamental theorems and to several new results. The treatment of Willis's theory is self-contained and full proofs are given of all the fundamental results.