A spokesperson for Hadassah Hospital said that Bladon died of her wounds two hours after arriving.
Israeli President Reuven Rivlin said he was "filled with sadness" about Ms Bladon's death, and said the country's "thoughts and prayers are with the family of the victim".
Her family today described her as a "talented musician" and "enthusiastic rugby player".
Sam Bartlett, a UoB History and Political Science student who studied on exchange at Hebrew University previous year, said that he was "shocked", but added that throughout his time in Jerusalem, stabbing attacks were frequent.
"Especially a student who to came to Jerusalem to study and widen her academic horizons".
Bladon came to the Hebrew University as part of a student exchange from the University of Birmingham.
Hannah Bladon was an exchange student in Jerusalem. "She was adventurous and had come here to have experiences, to meet people, and to get to know the history of the state".
She had been studying in the Hebrew University of Jerusalem during the time surrounding her death and was taking part with an archaeological dig the very same morning. "We are providing support to her family at this hard time and are in touch with local authorities". I send my condolences to the victim's family and friends. "Radical Islamic terrorism is striking world capitals".
"Our forces will continue to operate around the clock in order to protect the people of Israel", he added.
"I am filled with sadness, as I received the awful news of the murder of a young girl in the terror attack in Jerusalem", Israeli President Reuven Rivlin said.
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'Our family are devastated by this senseless and tragic attack'. "Terror will never destroy our lives here".
Israel's ambassador to the UK, Mark Regev, also expressed sympathies via Twitter.
She was attacked while travelling on a light rail train near Jerusalem's Old City on Friday, which was packed as Christians were marking Good Friday and Jews were celebrating Passover.
Ben Bailey, the Director of Student Services at the University of Birmingham said the thoughts of everyone at the university were with "Hannah's family and her close friends" following the "hugely tragic event".
A pregnant 30-year-old woman and a 50-year-old man were also injured in the attack, which took place on a tram near Jerusalem City Hall, but were not injured.
Police detained a 57-year-old man, and superintendent Micky Rosenfeld said the attack was carried out by an "Arab terrorist" from east Jerusalem.
"According to an initial investigation, it seems he suffers from mental problems", a police spokesperson said.
"He recently tried to commit suicide, in a hospital in northern Israel, by swallowing a razor blade", the statement read.
Police had been on high alert for Passover, when tens of thousands of Jews pray at the Western Wall inside the Old City and some visit the flashpoint Al-Aqsa mosque compound above it.
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