A taxi erupted in flames after an explosion outside the Liverpool Women's Hospital. Photo / Supplied
Britain's Interior Minister said the country's terrorism threat level had been raised from "substantial" to "severe", the second-highest level, meaning an attack is highly likely, following Sunday's deadly blast in Liverpool.
"The Joint Terror Analysis Centre are now increasing the United Kingdom's threat level from substantial to severe," Priti Patel told British media, referring to the security services' unit responsible for setting the level.
It comes as the Daily Telegraph in the UK disclosed that the Remembrance Sunday terrorist originated from the Middle East but was not known to the security services.
The bomber, named as 32-year-old Emad al-Swealmeen, had ordered a taxi to take him to Liverpool Women's Hospital but well-placed sources stressed his motivation remained unclear as was his intended target. Swealmeen died when his Improvised Explosive Device (IED) went off.
One possible theory is the bomber was intending to walk towards Liverpool's Anglican Cathedral to detonate the device as the congregation left following a Remembrance Day service.
The current national terror threat level has been raised as a result of the Liverpool explosion to 'severe', suggesting another terrorist attack is now 'highly likely'.
Counter-terrorism police and MI5 are concerned that the attack took place so shortly after the fatal stabbing of David Amess, the Conservative MP.
The two incidents are not linked but it raises fears that terror plotters are now planning to carry out attacks now that the UK has come out of a Covid-19 lockdown.
The motive for the latest attack is unclear but the fact the dead suspect came from the Middle East will increase the likelihood that it was Islamist inspired.
It is also unclear if the terrorist had come recently to the UK or even been born here but from a Middle East background.
He was not on any MI5 watchlist, meaning he was not subject to a current ongoing investigation or had been investigated in the past.
That makes it harder for intelligence services to thwart any plot but will also raise the possibility he came to the UK recently.
So far four men have been arrested under terrorism laws in the Kensington area of Liverpool - three aged 21, 26 and 29, who were held on Sunday, and a man aged 20, who was detained on Monday morning just after 9am.
Witnesses saw two of the men getting marched out of an house in Sutcliffe St at gunpoint.
Just after 4pm, police have carried out a controlled explosion in the middle of a park in a development linked to the Liverpool Women's Hospital bombing.
Officers destroyed the suspicious item a few hundred yards away from Rutland Ave - an address where police evacuated eight families amid safety concerns.
Earlier, Assistant Chief Constable Russ Jackson, Counter Terrorism North West said: "At this location significant items have been found and further searches will be necessary today and potentially into the coming days."
Boris Johnson, who chaired a Cobra meeting at 3pm Monday, told a Downing Street press conference the attack outside Liverpool Women's Hospital was "sickening".
The Prime Minister said: "What yesterday showed above all is that the British people will never be cowed by terrorism, we will never give in to those who seek to divide us with senseless acts of violence.
"And our freedoms and our way of life will always prevail."
He said emergency services responded with "such speed and professionalism". But he added: "It is a stark reminder of the need for us all to remain utterly vigilant."
Johnson also praised taxi driver Dave Perry, saying "it does look as though the taxi driver in question did behave with incredible presence of mind and bravery".
There were reports - including from Liverpool Mayor Joanne Anderson - that the driver had locked the terrorist inside his car.
My thoughts are with all those affected by the awful incident in Liverpool today.
I want to thank the emergency services for their quick response and professionalism, and the police for their ongoing work on the investigation.
"We knew that the taxi driver had stood out and locked the doors, we knew that early on."
But Perry's wife Rachel pointed out that this was not the case, and dramatic CCTV footage from the blast showed the car was still moving when it blew up outside the main reception of the maternity hospital.
Nevertheless, a fundraising page for the taxi driver and his family topped £20,000 by late on Monday afternoon.
Patel wouldn't be drawn on whether there was specific intelligence behind the raising of the threat level.
Taxi driver Dave Perry was hailed a hero in the aftermath of the blast in the UK's northwest for allegedly trapping the suspected bomber in his cab.
There were reports - including from Liverpool Mayor Joanne Anderson - that the driver had locked the terrorist inside his car.