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District Judge Vanessa Baraitser said Monday Assange was likely to commit suicide if sent to the US.
The US government said it would appeal the decision.
US prosecutors have indicted Assange on 17 espionage charges and one charge of computer misuse over WikiLeaks publication of leaked military and diplomatic documents a decade ago. The charges carry a maximum sentence of 175 years in prison.
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The judge rejected claims by the defence that Assange was protected by free-speech guarantees, saying his “conduct, if proved, would therefore amount to offences in this jurisdiction that would not be protected by his right to freedom of speech.”
But she said Assange suffered from clinical depression that would be exacerbated by the isolation he would likely face in US prison.
The judge said Assange had the “intellect and determination” to circumvent any suicide prevention measures the authorities could take.