The UK's terror threat level has been lowered from "critical" to "severe", Home Secretary Amber Rudd has announced. Britain remains on its highest level of alert on Sunday, meaning another attack is believed to be imminent.
Thirty people were injured when an improvised explosive device caused a fireball on a District Line carriage.
Rudd made her announcement as police continue their investigations in the wake of the incident on Friday.
"The joint terrorist analysis centre, which reviews the threat level that the United Kingdom is under, has chose to lower that level from critical to severe".
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Soldiers who had been drafted in to guard public sites in order to free up police resources will "return to their original positions" over the next few days, Ms Rudd said.
London police say a second man has been arrested in connection with the London subway attack.
He is being held at a police station in south London under the Terrorism Act.
Police said they are searching a residential address in Stanwell, Surrey, in conjunction with this arrest.
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Police arrested an 18-year-old man in the departure lounge of Dover port earlier on Saturday in what they called a "significant" step and then raided a property in Sunbury, a town near London and about 6km from Hounslow.
Police are continuing to search a foster home in Sunbury-on-Thames, Surrey, in connection with the teenager's arrest on Saturday.
The last time the attack was at such a high level was in May when suicide bomber Salman Ramadan Abedi murdered 22 people and injured 59 others outside Manchester Arena.
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