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Three people have died and five others have been injured after a shooting on a tram in a city in Holland this morning.

Police, including an anti-terror unit, have been deployed to the scene following the incident on a tram at 24 October Square in the city of Utrecht.

Images from the scene show a tram stopped in the middle of a junction surrounded by emergency emergency service vehicles.

Police Utrecht confirmed suspect Gokmen Tanis, 37, has been arrested after a large-scale manhunt.

The head of the Dutch Counter-Terrorism Agency said there was shooting at "several" locations in Utrecht, which is 25 miles south of Amsterdam.

Dutch police said the shooter "may have had a terrorist motive" and that there may have been more than one perpatrator.

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Primary schools in Utrecht were put on lockdown and all mosques were evacuated.

Everyone in the city was told to stay inside for a number of hours but the advice was later withdrawn by police.

In a tweet, city police said Tanis was born in Turkey.

An eyewitness called Jimmy de Koster told RTV he saw saw four men shoot a woman who dropped to the ground as she screamed: "I didn't do anything".

He said: "I came from work when it happened. I was standing at the traffic lights in the square and see a woman, I think she is between 20 and 35.

"At that moment I heard pang pang pang three times, four men walked very fast towards her and they tried to drag her away and then I heard pang pang pang and those guys let go of that woman again."

He said the men then fled the scene in different directions.

(Image: Twitter)

Another eyewitness told NRC that a man got up and started shooting "with a big gun".

"I was in the back of the tram. He shot around, but seemed to be aiming at people sitting on the benches - everyone ducked away," she said.

"The conductor did not open the doors immediately. Two boys next to me kicked in a window, so I fled outside. More people did that. "

The Dutch Prime Minister Mark Rutte is holding crisis talks with the government following the shooting and said he is "very worried".

Our country today has been jolted by an attack in Utrecht,” Rutte said in a statement.

“Police and prosecutors are looking into what exactly happened. What’s known now is that there was shooting at people sitting in a tram in Utrecht, that there were wounded, and possibly deaths.”

Police confirmed a gunman opened fire at 10.45am local time [9.45am GMT] this morning.

(Image: ROBIN VAN LONKHUIJSEN/EPA-EFE/REX)

"Several shots were fired in a tram and several people were injured. Helicopters are at the scene and no arrests have been made," said police spokesman Joost Lanshage.

Several trauma units were sent to the scene, including three air ambulances.

The area around the tram stop was cordoned off and there is no tram traffic in the city by order of the police.

It's believed the shooter or shooters may have escaped in a car and police are searching for a red Renault Clio.

The vehicle was stolen in a carjacking this morning and was later found nearby.

The Dutch government raised the terrorism threat level to the highest possible in the province of Utrecht.

The National Anti-Terrorism Coordinator said it had raised alert level as the suspected shooter was still at large.

At least one offender is currently on the run, National Coordinator for Counterterrorism and Security Pieter-Jaap Aalbersberg said at a press conference.

"It is now a priority to find this culprit. A complex operation is underway looking for the suspect. We ask citizens to stay alert and listen to the local authorities."

(Image: Sky News) (Image: ROBIN VAN LONKHUIJSEN/EPA-EFE/REX)

He said it was unclear whether there are several gunmen and added that they could not yet rule out a terrorist attack.

"In any case, an investigation is underway to one suspect. More cannot be excluded now," he added.

Rotterdam Police said there will be extra security at stations and mosques in response to the incident in Utrevht.

There is also said to be a heightened police presence at Schipol Airport.

Police have appealed to the public to stay away from the scene to keep the roads clear for the emergency services.

Police are hunting for those responsible and said they're looking to trace a red Renault Clio.

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Anti-terror police surrounded a home close to the scene of the shootings but nothing was found there.

Terrorism as a motive has not been excluded.

Foreign Secretary Jeremy Hunt has described the shooting as "hugely concerning news" and said the UK "stands with the people of the Netherlands".

(Image: RICARDO SMIT/EPA-EFE/REX) (Image: BrunoPress/WENN.com)

He tweeted: "Hugely concerning news of a gunman opening fire on a tram in Utrecht, no doubt with innocent people just getting on with their day.

"We are in contact with Dutch authorities, urgently seeking further information.

"The UK stands with the people of the Netherlands."

The Dutch royal family has voiced its horror following the attack this morning.

In a statement King Willem-Alexander and Queen Máxima said: “We are deeply saddened that three people died in an attack in Utrecht and others were seriously injured. We are deeply sympathetic to the victims and their families.”

“Let us stand united and stand together for a society in which people can feel safe and in which freedom and tolerance prevail. We are grateful to all aid workers who are currently working for those affected. We are thinking of the residents of Utrecht. “