Peter Taylor's young side make an early exit from the tournament after losing their final game and finishing bottom of Group E with Iraq and Chile through to the knockout stages
The loss means Peter Taylor’s men have failed to win a game at the tournament after being held 2-2 in their opening game against Iraq followed by a 1-1 draw with Chile.
After opening their campaign with two draws, victory against Egypt would have seen England qualify for the knockout stages.
However, goals from Trezeguet and Hassan Ahmed ensured Taylor’s men finished bottom of the group.
The Three Lions did have chances in the match with Larnell Cole and Conor Coady both forcing goalkeeper Awad Mossad into saves in the first half.
Tottenham striker Harry Kane then spurned a couple of chances to put his side ahead and England were made to pay for their profligacy when Trezeguet put Egypt ahead with just 10 minutes to play.
Kane then had a superb chance to equalise for Taylor's men but again could not find the back of the net and there was further misery for England in the 90th minute when Ahmed ensured victory with a side-footed finish.
However, the win was also not enough for Egypt with group winners Iraq and runners-up Chile progressing through the group.
The early exit from the tournament for England follows on from the Under-21 side who were knocked out at the group stages of the U21 European Championship after three straight defeats.