A VIDEO shows the chilling moment three terrorists stroll calmly past a London pub in the midst of carrying out a rampage that killed seven people and injured 48, including two Australians.

In the video, which appeared on the Daily Express website, the attackers are seen walking through Borough Market just minutes after mowing down pedestrians on London Bridge and seconds before launching a stabbing attack on revellers on Saturday night.

Video shows London killers: 3 killers walk calmly towards pub moments after mowing down crowd.
Video shows London killers: 3 killers walk calmly towards pub moments after mowing down crowd.

One of those stabbed was Australian Andrew Morrison, who gave a heart-stopping account of being set upon by one of the terrorists in a video posted online shortly after the attacks.

With a bloody bandage wrapped around his neck he held a towel up to stop the bleeding as he explained how he tried to dodge the terrorist wielding a knife.

"He looked like, I hate because, you know, I know the thing with Muslims and terrorism, but he looked like a f***ing Muslim terrorist," Mr Morrison said, adding that his attacker wasn't wearing a mask.

Screen capture from Channel 7 of Australian man named Andrew who was wounded in the London Bridge terror attack. Picture: Channel 7.
Screen capture from Channel 7 of Australian man named Andrew who was wounded in the London Bridge terror attack. Picture: Channel 7.

Sunday's rampage by assailants wearing fake suicide vests at the popular night-life hub of London Bridge was the third deadly terror attack in Britain in three months.

Of the 48 injured in the carnage 21 remain in a critical condition, NHS England said.

No details have yet been released about the suspects, who were shot dead within minutes by police. Police fired 50 bullets during the confrontation, also injuring a member of the public, a spokesman for London's Metropolitan Police said on Sunday.

The spokesman said that the van used in the attack had been recently hired by one of the suspects.

It is understood that the investigators have established identities of the three attackers but they are unlikely to be officially named yet, according to BBC reporter Danny Shaw.

London authorities say they have so far arrested 12 people in relation to the attack and conducted a raid on Sunday at a residence in Barking believed to be the home of one of the suspects.

Mr Morrison's Facebook lists him as an electrician, who currently lives in Darwin. Last night his sister Katrina Morrison said they were just happy that he was safe.

"Yes my brother was involved," she said. "We're currently sorting out his flight home ... Yeah right now we are just happy he is safe," she said.

Meanwhile, a second Australian victim was slashed in the throat by one of three attackers.

Candice Hedge, who moved to London from Queensland a year ago, called friends and family back in Australia to say that she had been stabbed but that the wound had missed her windpipe and major arteries.

Ms Hedge, 31, had finished working as waitress at Elliot's restaurant in London Bridge and was sitting at the bar having a drink when a man came up behind her and slashed her throat with a knife.  

Candice Hedge, was one of two Australians injured in the London terror attack. Picture: Supplied/Facebook
Candice Hedge, was one of two Australians injured in the London terror attack. Picture: Supplied/Facebook

It's understood she had her back to the man and he came up behind her, grabbed her head and slashed her throat.

The Brisbane woman wrote on Facebook: "Hey everyone, just so you know im doing ok. Bit of pain but I will survive. Thanks for your thoughts and well wishes. Love to all."

Meanwhile, the UK capital was gripped by fears of further attacks on Sunday as armed police swooped on a house in East London.

Social media footage showed police pointing guns at the upper stories of a property in the East Ham area. Other photos showed a cordon closing off a busy road.

Photos from the scene show at least half a dozen police vans in the High Street area with dozens officers standing in the middle of the road, the Mirror reported.

It was not clear whether the police activity was connected to the London Bridge attacks although there were reports of gunfire on social media.

US President Donald Trump lashed out at London Mayor Sadiq Khan for urging Brits to go on as usual after the deadly attack.

Following the massacre, Mr Khan vowed not to "let these cowards win" and said the Ariana Grande concert in Manchester and the UK general election should "absolutely" go ahead.

He also said he would "enjoy voting" on Thursday as a sign of a healthy democracy.

A spokesman for Mr Khan hit back at Mr Trump, saying the president had deliberately taken out of context remarks made by the mayor to reassure people about the increased police presence in the wake of the attack.

Prime Minister Theresa May said the attack was driven by the same "evil ideology of Islamist extremism" behind last week's Manchester suicide bombing that left 22 people dead, and the Westminster attack in March, which killed five.

"The recent attacks are not connected but we believe we are experiencing a new trend in the threat we face," the prime minister said after chairing a meeting of the government's emergency Cobra committee.

"As terrorism breeds terrorism and perpetrators are inspired to attack, not only on the basis of carefully constructed plots.., and not even as lone attackers radicalised online, but by copying one another and often using the crudest of means of attack."

She added anti-terror police had successfully disrupted five "credible plots" since the Westminster attack in March.

"Our country has made significant progress in disrupting plots and protecting the public, but it's time to say enough is enough. Everybody needs to go about their lives as they normally would. But when it comes to taking on extremism and terrorism, things need to change."

Meanwhile, Downing Street announced on Sunday that the UK would hold a minute's silence on Tuesday "in remembrance of those who lost their lives and all others affected by the attacks".

The van and knife assault is the latest in a string of attacks to hit Europe, including in Paris, Berlin and Saint Petersburg, and the French, German and Russian leaders sent their condolences and messages of support.

US President Donald Trump offered his help, tweeting "WE ARE WITH YOU. GOD BLESS!" -- and highlighting his thwarted ban on travellers from six mainly Muslim countries.

A counter-terror operation in the district of Barking, East London has resulted in 12 people being arrested.

Aerial footage broadcast on UK TV showed police cordoning off a block of flats and an ambulance in attendance.

"Officers from the Met's Counter Terrorism Command have this morning ... arrested 12 people in Barking, East London, in connection with last night's incidents in London Bridge and the Borough Market area," London's Metropolitan Police Service said in a statement.

The guy that the police knocked down after 1 min #live #police #dead #man #london #terroristic #attack

A post shared by Gabriele Sciotto (@fried_chicken) on

"Searches of a number of addresses in Barking are continuing."

The Telegraph reported a witness describing police opening fire on one man attempting to escape.

"One man tried to flee and they shot him outside my house. They put him in an ambulance and then the others in a police van," Tara Milan said.

Sky News is reporting the raided address was linked to one of the attackers killed by police, implying that police know the identity of at least one of the attackers.

Sky reported that the police recognised a neighbour as the suspect who had been killed by police last night. One suspect wore a close-cropped beard and wore an Arsenal football shirt.

"They kept coming to try to stab me ... they were stabbing everyone. Evil, evil people," he told The Guardian newspaper.

Holly Jones, a BBC reporter, saw a white van speeding into crowds of people walking along the pavement on London Bridge, saying it hit about five or six people.

Another witness called Eric told the BBC he had seen three men get out and thought they were going to help.
Instead they "started kicking them, punching them and took out knives. It was a rampage really," he said, adding that he heard a shout of: "This is for Allah".

Earlier, London police chief Cressida Dick confirmed that the death toll had risen from six to seven.

An Australian and four French nationals were among those hospitalised, their governments said, while a Spaniard was slightly wounded. May said some of those hurt had "life-threatening" conditions.

Prime Minister May was emphatic in condemning the attackers in a press conference.

People with their hands on their heads about 10 minutes after midnight as they leave from inside a police cordon after an attack in London.(AP Photo/Matt Dunham)
People with their hands on their heads about 10 minutes after midnight as they leave from inside a police cordon after an attack in London.(AP Photo/Matt Dunham)

"They are bound together by the single evil ideology of Islamist extremism that preaches hatred, sows division, and promotes sectarianism," she said. "It is an ideology that claims our Western values and freedom, democracy and human rights are incompatible with the religion of Islam."

Defeating this is one of the greatest challenges of our time, she added.

Prime Minister Malcolm Turnbull said he was aware of two Australian victims of the attacks, though he did not name Mr Morrison or Ms Hedge by name.

Mr Turnbull told media: "We are aware of reports of two Australians who have been directly affected by this attack."

"This afternoon the Foreign Minister spoke to the parents of both Australians. One case has been confirmed and that Australian concerned is in hospital.

"In the other case, we are continuing to make inquiries. Our officials will continue to provide every assistance they can to Australians affected by this shocking attack and their families."

One New Zealander and two French citizens are also among the casualties. Both Australian victims are believed aged under 35.

Mr Turnbull added that he admired the swift action of first responders.

"We send to the people of Britain our resolute solidarity. As always, (we are) allies in the values we defend, he said.

"We will never, ever bow to terrorism. we will continue ... to lead our lives the way we always have."

Meanwhile, Prime Minister May has declared she would pursue international co-operation to prevent extremists from exploiting open internet platforms such as Twitter and Facebook to spread their messages of hate, along with new reviews of anti-terror powers and laws.

"We cannot allow this ideology the safe space it needs to breed. Yet that is precisely what the internet and the big companies that provide internet-based services provide," May said.

The attack came only minutes after the end of the Champions League final between Real Madrid and Juventus, in an area teeming with bars where many fans were watching the match on television.

Police said they are still seeking to establish if the attackers acted with anyone else, although they believe all the perpetrators are dead.

Britain was already on high alert following the attack on a concert by US pop star Ariana Grande in Manchester, northwest England, in which seven children were among the dead.

Grande, who will headline a benefit concert in Manchester later alongside stars including Pharrell Williams and Justin Bieber, tweeted that she was "Praying for London." The national threat level was briefly raised to maximum after the Manchester attack and troops were deployed at key public sites.

But Prime Minister May said the response to the terror threat must go beyond the security services, saying: "We cannot and must not pretend that things can continue as they are." Defeating Islamist extremism - which she called a "perversion of Islam" - required that "we turn people's minds away from this violence".

Meanwhile, the UN Secretary-General António Guterres expressed his solidarity with UK but stressed that human rights needed to be safeguarded in the war against terrorism.

In a statement, Mr Guterres said: "This is a struggle in many parts of the globe that compels the international community to join up efforts to bring to justice those who use such inhuman tactics while also protecting and promoting the fundamental values, rights and principles that terrorists so fervently seek to undermine."