TERRIFIED neighbours were warned their street could "blow" as armed police swooped following the Liverpool car bomb blast.
Gun cops were scrambled to Sutcliffe Street where four men have been arrested on suspicion of terror offences.
It came just hours after a terrorist was killed and cabbie injured in a car explosion outside Liverpool Women's Hospital.
Horrified locals say they were evacuated by police as officers stormed the home to make arrests.
What we know so far…
- A terrorist was killed and taxi driver injured in a car bomb blast at Liverpool Women's Hospital yesterday
- Hero cabbie Dave Perry locked the passenger in the taxi to prevent further disaster
- The horror is being treated as a terrorist incident but the motive is unclear
- Four people have been arrested on suspicion of terror offences
- The bomb was homemade and manufactured 'by the passenger in the taxi'
- Boris Johnson will chair an emergency Cobra meeting today as the terror threat is raised to the second highest level of 'severe'
Others were told to stay indoors as shouts of "get down, get down" rang out.
Neighbour Sharon Cullen was removed from her home on Sutcliffe Street by police along with her her husband, daughter and two-year-old son grandson.
She said: "The police pounded on my door and an officer said 'we need to get you out of the house as soon as possible'.
"They said 'whatever is going on at the back of the house, it could blow the block'.
"It was really frightening."
While Keith Ford, 47, said he was "petrified" for his family as they were told to stay indoors for four hours by armed police.
🔵 Read our Liverpool explosion live blog for the latest updates
He added: "There was a police car and an unmarked car outside and the officers were stood behind the cars with their guns pointed at the house.
"I was petrified for my family, I didn't know what was going to happen.
"I seen a gentleman from behind come out of the house with his hands above his head. He was in his early 20s."
Dramatic footage showed officers with guns yelling "don't you f***ing move" as they stormed the terraced home in Liverpool last night.
Three men aged 29, 26 & 21 were arrested yesterday under the Terrorism Act after the blast at Liverpool Women's Hospital.
A fourth man, 20, was held today by officers with all four suspects to be quizzed by counter-terrorism officers this afternoon.
Police confirmed today the horror is being treated as a terror incident.
Assistant Chief Constable Russ Jackson, Counter Terrorism North West, said the bomber was picked up in Rutland Avenue just before 11am.
He then asked to be taken to Liverpool Women's Hospital, which is around ten minutes away.
As the taxi approached the hospital, the explosion tore through the car and engulfed it in a fireball – killing him and injuring cabbie Dave Perry.
Police believe they know his identify but no details have been released.
Officers are still trying to establish a motive for the terror blast and said the investigation is "continuing at pace".
The officer added: "Remarkably, the taxi driver, escaped from the cab. He has been treated for the injuries he sustained and has now been released from hospital.
"Emergency services quickly attended the scene and Merseyside Fire and Rescue put out the fire following which it quickly became apparent that the passenger remained in the vehicle and was deceased.
"It is not clear what the motivation for this incident is.
"Our enquiries indicate that an improvised explosive device has been manufactured and our assumption so far is that this was built by the passenger in the taxi.
"The reason why he then took it to the Women's Hospital is unknown, as is the reason for its sudden explosion.
"Although, the motivation for this incident is yet to be understood, given all the circumstances, it has been declared a terrorist incident and Counter Terrorism Policing are continuing with the investigation."
The officer confirmed two addresses in the city have been searched as a result of the investigation.
Three of the suspects were arrested yesterday at Sutcliffe Street in the Kensington area of Liverpool, while today's arrest was made in the same area.
Cops have found "significant items" at a home searched in Rutland Avenue with eight families living nearby evacuated.
Merseyside Chief Constable Serena Kennedy said: "There is no specific threat to the area, but I have asked for patrols to be increased right across Merseyside."
She also urged people to "remain calm" but "vigilant and alert".
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