The vehicle had been stolen earlier in the day.
Armed police remain on the scene, and the public has been warned to stay away from the city centre. A police cordon has been put up around the area.
Swedish Prime Minister Stefan Lofven has said everything indicates that the Stockholm truck crash is “a terror attack” and confirmed that one suspect has been detained.
Police have confirmed a secondary incident, a shooting at Fridhemsplan – this is an ongoing situation.
The FCO have updated their travel advice for Sweden on the official government website.
They state: “There are reports that incidents have occurred in Drottninggatan and Fridhemsplan in central Stockholm.
“You should stay away from public areas if possible and follow the advice of local authorities.
“Over 857,000 British nationals visited Sweden in 2016. Most visits are trouble-free. If you need to contact the emergency services in Sweden call 112.”
Advising on terrorism in the country, the FCO states: “There is a general threat from terrorism. Attacks could be indiscriminate, including in places visited by foreigners.
“There is considered to be a heightened threat of terrorist attack globally against UK interests and British nationals, from groups or individuals motivated by the conflict in Iraq and Syria. You should be vigilant at this time.”
Europe has been rocked by terror attacks in recent years – most recently in an attack echoed by the one in Stockholm, a car mowed down pedestrians on Westminster Bridge just outside the Palace of Westminster in London in March.
Khalid Masood drove his 4×4 Hyundai Tucson along the pavement of Westminster Bridge before stabbing to death his fourth victim, PC Keith Palmer, an unarmed member of the parliamentary and diplomatic protection command unit who was guarding an entrance to the Houses of Parliament.