England lost 4-1 on penalties to Spain in the European U17 Championship final in Croatia after conceding a stoppage-time equaliser in a 2-2 draw.
Spain substitute Nacho Diaz headed home in the sixth minute of added time at the end of the 80 minutes to level the scores in Varazdin and England then missed two penalties in a new shoot-out format.
Aidan Barlow converted the first penalty and after both Abel Ruiz and Mateu Morey had scored for Spain, Rhian Brewster's effort hit the inside of a post.
Joel Latibeaudiere then blazed his penalty over the crossbar before Sergio Gomez and Victor Chust converted to deny the Young Lions a historic third tournament win.
Phil Foden's stunning second-half strike had restored England's lead after Callum Hudson-Odoi's opener had been cancelled out by Spain defender Morey before the interval.
The Young Lions, who had won the tournament in 2010 and 2014 and beat Turkey 2-1 in their semi-final on Tuesday, were first to get their noses in front when Hudson-Odoi fired them into an 18th-minute lead courtesy of a deflection.
Jadon Sancho fed the Chelsea striker just outside the penalty area and after cutting inside, his right-footed shot hit Hugo Guillamon and curled inside goalkeeper Alvaro Fernandez's far post.
Spain chased an immediate riposte and went close through Ferran Torres and Abel Ruiz, before cutting England apart for a deserved equaliser.
Moha's brilliant through ball picked out Abel Ruiz and after his cut back caught England square footed, Barcelona team-mate Morey smashed the ball into the roof of the net.
Spain were handing England their sternest test in the tournament, but a brilliant strike from midfielder Foden put the Young Lions back in front.
Foden took aim 25 yards from goal on the right of the penalty area and rifled a left-footed shot past Fernandez in the 58th minute.
But with the last touch of the game deep in stoppage time, Nacho Diaz headed home Jose Alonso's corner and Spain followed up their semi-final defeat of Germany by holding their nerve in another penalty shootout.