England failed to reach Sunday's Nations League final after a series of defensive howlers cost them against the Netherlands in Guimarães on Thursday evening.
The Three Lions took the lead in the 32nd minute thanks to a Marcus Rashford penalty, after the Manchester United forward was brought down by Matthijs de Ligt following a sloppy touch from the young centre half.
Ben Chilwell was lucky to escape punishment for a clumsy tackle in the area on Steven Bergwijn in the second half, before Jadon Sancho headed a great opportunity straight at the keeper from six yards out from a pinpoint Fabian Delph cross.
But the Dutch pressure was building, and it eventually told on 73 minutes when De Ligt's powerful header from a corner put Ronald Koeman's side level after some weak English defending.
England thought they had won the game late on when Jesse Lingard netted, but VAR ruled that he had narrowly strayed offside, before Raheem Sterling clipped the bar in the final seconds of normal time.
Holland took the lead in extra time after John Stones was dispossessed in his own half and, despite Pickford's brilliant save from Depay, Quincy Promes' followed up to score with the help of a Kyle Walker deflection.
Another defensive howler, this time from Ross Barkley, led to Promes scoring to seal the game for the Dutch, who will face Portugal in the final on Sunday.
Key Talking Point
But England were riding their luck, and their will and determination to play out from the back nearly cost them on several occasions, especially when Kyle Walker needlessly gave possession away to Memphis Depay before Jordan Pickford bailed him out.
While the buildup to the controversial disallowed goal was built from calm possession on the ball and beating the intense Dutch press, it felt like England were living on the edge, and it would ultimately lead to their demise in the clash.
Stones, who was shaky all evening, dwelt on the ball on one too many occasions in the buildup to the winning goal to condemn England to their second semi final defeat in as many years.
Bluntly, they collapsed, and to throw away another lead in such fashion will hurt Southgate's young side, but the players and the manager himself should learn and be better for the experience.
Starting XI: Pickford (7*); Walker (6), Stones (4), Maguire (5), Chilwell (4); Rice (5), Barkley (6), Delph (6); Sancho (7), Rashford (6), Sterling (7).
Substitutes: Kane (5), Lingard (6), Henderson (6), Alli (5).
STAR MAN - Jordan Pickfordmade some excellent saves to keep his country in the game, and was powerless to stop any of the goals.
He must have been incredibly frustrated at the way his back four conceded goals, but he was trying to lead the way in terms of playing out of defence, and his distribution was generally good.
His save from Depay's one-on-one effort which led to the second goal was outstanding and he was unlucky to be on the losing side.
Key Talking Point
Similarly to England, the Dutch have gone through something of a renaissance in recent times, with Ronald Koeman's young side becoming one of the most exciting teams in international football.
However, their naivety showed in the first half, most notably when the usually brilliant De Ligt lost control of the ball in his own area and was dispossessed by Rashford, only to panic and swing a leg to try and atone for his error, which led to the opening goal.
That, coupled with plenty of possession but very little cutting edge, seemed to set up a disappointing evening for the Flying Dutchmen, whose fans were reportedly outnumbered six to one inside the ground.
But they found a way to silence that crowd, and eventually and deservedly equalised, which gave them full belief and momentum to go on and win the game.
With the help of their opponents, they eventually got their win, which they were good value for. They constantly looked a threat at set pieces and will be serious threat not only on Sunday in the final, but also at next year's European Championships.
Starting XI: Cillessen (6); Dumfries (5), De Ligt (6), Van Dijk (6), Blind (6); De Roon (5), De Jong (8*), Wijnaldum (6); Bergwijn (7), Depay (7), Babel (5).
Substitutes: Promes (7), Van de Beek (6), Propper (6), Strootman (5).
STAR MAN - While the Dutch didn't seem to have much cutting edge, new Barcelona signing Frenkie De Jonglooked like the real deal.
The 22-year-old was calm in possession and kept his side ticking over nicely in the centre of the park, while also putting in a decent defensive shift.
He ran the show in midfield, and the Dutch have a seriously good player to build their team around for many years to come.
England will now take on Switzerland at Estádio D. Afonso Henriques in Guimaraes on Sunday afternoon in the third place play-off at 2pm. Following that match, Southgate's side don't play until 7 September, when they take on Bulgaria at Wembley, before hosting Kosovo three days later, both in Euro 2020 qualifiers.
The Netherlands will face Portugal at Estadio do Dragao in Porto on Sunday evening to crown the first ever winners of the Nations League, before travelling to Berlin to take on their great rivals Germany in September, which is followed by a trip to Estonia shortly after.