The British PM's EU withdrawal deal has been rejected by MPs by an overwhelming 149 votes, with just 17 days to go.
The prime minister won by 325 votes to 306 -- a majority of 19.
Britain's traditionally anti-EU media have blamed Brussels for preventing London from taking greater steps to protect the industry.
There will be a House of Commons vote on Wednesday on the proposed election and May will need Parliament's backing to hold a vote before 2020.
The flawed response to the crisis has fed a us-vs-them mentality in which the banker, the expert, the coastal entrepreneur, the immigrant, the foreigner are all villains. The crisis was not that much of a problem; the response -- the over-reaction, the sovereign debt build-up and the lasting anger -- is the problem, says Mihir S Sharma.
Though May won her Maidenhead seat in south-east England with 37,780 votes, she faced pressure to resign after losing her parliamentary majority.
Opinion polls have suggested that while big business is broadly in favour of staying in the EU, small firms have been evenly split in what looks like a photo-finish.
The 45-year-old former human rights lawyer also becomes the first Muslim Mayor of London.
It sets the clock for a two-year negotiation process for Britain's relationship with the EU as a non-member.
An attacker drove a car along a pavement in Westminster, stabbed a policeman and was shot dead by police in the grounds of Parliament.
The police is investigating whether it was 'accidental or deliberate'.
That's how our politics is with no inner-party democracy. That's why we should listen to British MP Hilary Benn's speech, says Shekhar Gupta.
Terrorism struck at the heart of London after a vehicle veered off the road and mowed down pedestrians on London Bridge and witnesses described men with large knives stabbing passersby at nearby Borough Market.
Eyewitnesses reported hearing a loud "bang" from inside the venue.
The United Kingdom has voted by 51.9 per cent to 48.1 per cent to leave the European Union after 43 years in an historic referendum.
'The year in pictures' treks across the globe, looking back on the moments that shaped 2016. From the United States presidential race, to demonetisation in India to the refugee crisis, the news has kept pouring in. Here are our top 50 moments from the world.