"Americans call 'jam' 'jelly'" is a useful simplification but not actually quite correct.
1. Jelly is fruit juice plus sugar and pectin.
2. Jam is pulped fruit plus sugar and pectin.
3. Preserves are whole or chunked fruit plus sugar and pectin.
Jelly is smoother and more uniform than jam, which is smoother and more uniform than preserves.
It's that we eat more jelly than we do jam, in ways that are roughly but not perfectly analogous to UK jam uses.
Just like how you can serve tea without any tea.