Terrorism returned to the streets of London today as two suspected Muslim fanatics butchered a man in broad daylight in the name of 'Allah'.

Terrorism returned to the streets of London today as two suspected Muslim fanatics butchered a man in broad daylight in the name of 'Allah'.

One of the attackers behind the barbaric killing, near the Royal Artillery Barracks in Woolwich, was filmed wielding a bloodied meat cleaver, saying: 'We swear by almighty Allah we will never stop fighting you.'

Security has been stepped up at military barracks across London, as eyewitnesses and others close to the area said the victim, pronounced dead immediately, was a serving British soldier.

Metropolitan Police officers called to the terrifying scenes opened fire and shot the attackers, who were rushed to nearby hospitals, where one is said to be in a serious condition.

Prime minister David Cameron described the attack as 'truly shocking' while the home secretary Theresa May said it was 'sickening and barbaric'.

After it became clear through eyewitness accounts that the attackers had political and religious motives, the Government held a so-called Cobra emergency response meeting

In a chilling development, footage emerged of one of the suspected killers, apparently explaining his terrifying actions.

In the clip, obtained by ITV News, he is heard to say: 'We must fight them as they fight us. An eye for an eye, a tooth for a tooth.

'I apologise that women have had to witness this today, but in our land our women have to see the same. You people will never be safe. Remove your government, they don't care about you.'

At a press conference in Paris, the prime minister said Britain has faced such terror attacks before and added: 'We will never buckle in the face of it.'