This happens fairly often. But honestly it's a bit ridiculous that Google suggests that you change from a .co.uk to a .com to resolve the issue. That is NOT an option unless they're going to pay for the domain and the domain migration.
I would keep pushing back on that, there is no way that you need to move to another TLD.
They say that the site is "compromised and has malicious software", I bet it's actually something else, like a site that you're linking out to that's compromised and malicious--that's happened quite a bit in cases where sites are flagged like this in Google Ads.