The leaders had to curtail their talks
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Australian Prime Minister John Howard has said his country will remain a "steadfast partner" with Britain in the fight against terrorism.
"Terrorism is an enemy to all free people," Mr Howard said at a joint news conference with his British counterpart Tony Blair in London.
Mr Blair thanked Australia for being an "indomitable ally", praising the role it played in Iraq and also Afghanistan.
The two leaders had to cut short their talks after four blasts in London.
The minor explosions - three on the underground network and one on a bus - involved detonators only, a BBC reporter said.
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We have a 19th century legal response to potentially 21st century technological terrorist capacity
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London police said one person had been injured in the incidents, that came exactly two weeks after blasts on London's public transport that killed 56 people.
Appearing with Mr Blair at the Downing Street news conference, Mr Howard said the entire Australian nation felt for the people of Britain and London after the 7 July attacks.
"There is no city in the world after our own that Australians have more affection for, more identification with and a greater sense of history about than the city of London," he said.
Mr Howard also praised Londoners for their determination to carry on with their normal daily lives and the "remarkable" response of the city's emergency services.
Anti-terror laws
He said he was considering bringing in new laws to boost Australia's ability to fight the threat of terror.
"We are carrying out an examination at the moment of the need to change and strengthen our laws against terrorist activity or potential terrorist activity," Mr Howard said.
"We have a 19th century legal response to potentially 21st century technological terrorist capacity," he said.
Mr Howard added that Canberra would study the proposed British bills on the issue, including outlawing indirect incitement of terrorism.
He said British police specialists who dealt with the July 7 bomb attacks would go to Australia to pass on their experience.
Mr Howard earlier said the attacks would not affect Australia's commitments elsewhere in the world.
However, security on Australia's public transport was stepped up after the 7 July blasts in London.
Australia - like Britain - has been a staunch ally of the US in its war on terror and in Iraq, where more than 800 Australian troops are deployed.