Police defused a suspected explosive device in downtown London and launched a terrorism investigation into the incident Friday.

The "potentially viable explosive device" was found attached to a vehicle parked in the Haymarket near the Piccadilly Circus shortly before 2:00 a.m. (0100 GMT) in downtown London, police said.

A man crashed the vehicle into bins near a nightclub in Regent Street early Friday morning and then ran off, Sky news reported.

The vehicle, a silver Mercedes, was believed to have contained two propane gas canisters and a large number of nails.

The immediate area was cordoned off in precaution while the vehicle was examined by bomb-squad officers.

"They discovered what appeared to be a potentially viable explosive device," police said in a statement.

The authorities are warning of a major traffic disruption in the area, with several roads shut along with the Piccadilly Tube station. Meanwhile, "enhanced security measures" have been put in place at the Houses of Westminster on Friday morning following the incident.

Security sources said that the incident was to coincide with Gordon Brown's first day as Prime Minister.

The Counter Terrorism section of the Metropolitan Police has started investigations into the incident.

The new Prime Minister Gordon Brown has warned the country to remain vigilant to the "serious and continuous terrorist threat."

Source: Xinhua