British police have also identified the third attacker as Youssef Zaghba, but said the 22-year-old was not subject of M15 (Britain's security agency) interest.
"A large part of the outer cordon of the crime scene in place following the terrorist attack in London Bridge has now been reopened", police said.
The French national's body was found in the Thames river, London Metropolitan Police said.
Thomas was walking with his girlfriend over the bridge when the attack began, the AP said.
The trio killed eight and injured 48 in their rampage around London Bridge and Borough Market on Saturday night.
According to authorities, Butt, Redouane and a third man drove a white van into pedestrians on London Bridge about 10:10 p.m. local time Saturday.
A Police officer lets a police vehicle pass through a cordon close to Borough Market in London on June 7, 2017, after a police cordon was reduced following the June 3 terror attack.
The arrest comes as security services face growing questions over their monitoring of the three attackers in the lead up to the attack. He was also taken into custody on "suspicion of the preparation of terrorist acts", police said.
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One of the London attack accused, Khurram Shazad Butt, had appeared in a 2016 British television documentary called The Jihadis Next Door, The Washington Post reported.
Youssef Zaghba had been flagged to British intelligence services after telling Italian police "I'm going to be a terrorist" when he was reportedly stopped trying to travel to Syria.
A second named suspect, 30-year-old Rachid Redouane, claimed to be Moroccan and Libyan.
All three suspects have been taken to a south London police station for questioning as detectives homes and businesses in Ilford.
Police said Tuesday he is from east London and his family has been notified.
- The names of the 12 people arrested after raids in Barking have not been released.
His mother told police previous year that he had asked her for money to travel to Rome before he left on his abortive trip to Syria.
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