Xavier Thomas, 45, is thought to have been struck by the terrorists' van on the bridge and witnesses reported him being thrown into the water.
Khuram Shazad Butt, aged 27, was a British citizen born in Pakistan, who was already known to police and Britain's domestic spy agency MI5, London's police force said.
He said the investigation into Butt had begun two years ago but "there was no intelligence to suggest that this attack was being planned and the investigation had been prioritised accordingly".
"All three were arrested on suspicion of the commission, preparation or instigation of terrorism offences", the Met Police said in a statement.
Butt was one of three men who rammed a van into pedestrians on London Bridge in the city's center before launching a stabbing spree in bars and restaurants at the nearby Borough Market.
The Islamic State (ISIS) claimed responsibility for the London attacks on Saturday, the third to hit the United Kingdom in less than three months.
Canadian Prime Minister Justin Trudeau condemned the attack and said on Sunday he was "heartbroken" that a Canadian was among those killed.
All three attackers were confronted and shot dead by armed officers within eight minutes of being called, police noted.
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'He is believed to be an Italian national of Moroccan dissent.
Police said Tuesday he lived in east London and that his family has been notified, adding that he was not considered to be a "subject of interest" to either police or the intelligence services.
Searches were underway at the residential property and a business address in Ilford, the latest in a series of raid since the weekend assault.
Police have arrested 17 so far in connection to the incident in London, but have released 12 of them without charge. A CNN report has since claimed that he was on the watchlist of Italy after being "stopped at the Bologna airport by Italian airport police in March 2016 as he was trying to board a plane bound for Istanbul".
Butt, a father-of-two who appeared on Channel 4 documentary The Jihadis Next Door, was also reported to the anti-terror hotline in 2015 for showing signs of "extremism or radicalisation".
But his name, like that of dozens of others, was flagged in the circuit because he was deemed at risk of radicalisation. "Tell them Chrissy sent you", her family said in a statement.
The hospital said Ms Boden was "an outstanding nurse and a hugely valued member of the staff team in Theatres Recovery, described by her colleagues as "one in a million" who always went the extra mile for the patients in her care".
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