A 214 metre exclusion zone is in place around George V dock in east London, which is close to the airport. "As a result, London City Airport is now closed", said the London City Airport in an official statement.
Passengers due to fly on Monday are advised not to travel to the airport until further notice.
London City Airport tweeted Sunday that the airport has shut down while the ordnance is dealt with, adding, "Passengers are advised not to travel to the airport until further notice".
The airport authorities have urged all passengers to avoid travelling to the facility, through a Twitter post.
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As per the Metropolitan Police, this discovery was made at dawn on Sunday.
The airport will remain closed all day and all flights have been cancelled after the bomb was found nearby and several people have been evacuated from their homes following the discovery.
A 214m-exclusion zone has been put in place and roads surrounding the airport have been closed after specialist officers and the Royal Navy confirmed the device was explosive, the Evening Standard reported. The time was nearly 0500 GMT.
Thousands of bombs were dropped on London during the "Blitz" by German Air Forces between September 1940 and May 1941. Now let's hope the situation is dealt with immediately & the public doesn't suffer.