The way I understand it is that the guy is mentally unstable and extradition would exacerbate his suicidal tendencies. Extradition to the US in this particular case would be inhumane, not in general.
It's also noteworthy that in order to refuse extradition the Home Secretary willfully used the Human Rights Act, which she repeatedly bashed on other occasions when it got in the way of extraditing brown people.
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