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Salih Khater (29) will appear at Westminster Magistrates’ Court on Monday charged with the attempted murders of members of the public and of police officers, London's Metropolitan Police said.
Police believe a car was deliberately driven into pedestrians and cyclists, injuring three people, before ramming a security barrier outside parliament on Tuesday morning (local time).
"Due to the methodology, iconic location and the alleged targeting of civilians and police officers, the CPS (Crown Prosecution Service) are treating this case as terrorism," it said.
Video footage showed the car veering across the road and into a security lane leading to parliament before smashing into the barrier.
No one else was in the vehicle at the time and no weapons have been found.
The car involved, a silver Ford Fiesta, has been removed and the security lane was open.
The Fiesta was driven down to the British capital from Birmingham on Monday night and was then in the Tottenham Court Road area, near central London's main shopping district, for about four hours, police said.
It then headed to the Westminster and Whitehall area where parliament and most central government departments are located before the incident occurred at 7.37am.
Parliament is in summer recess and most lawmakers are not using the building. Prime Minister Theresa May is on holiday overseas.