Roberto Mancini’s side ended the Three Lions’ bid for glory with a 3-2 victory on penalties in London, in a game which had earlier seen ticketless fans breach security to get into the stadium.
But while England fans were left devastated at Wembley, north of the border Scots were celebrating.
Footage from around 11:30pm shows dozens of revellers dancing and cheering outside the Bella Italia restaurant on Edinbugh’s North Bridge, as well as outside bars in the Cowgate.
In one video, passing cars can also be heard honking their horns in celebration.
One tourist, visiting the Capital for the weekend, was entertained by the displays.
He told the Evening News: “I wasn't quite familiar enough with the dynamics of intra-British sporting rivalry to know whether the Scots would be cheering for their fellow Britons.
“But as a local helpfully explained: ‘literally any team except England.’
“I was a bit surprised by the intensity of the celebration though - if I didn't know who played the final, and you told me it was Scotland who had won I would have believed you!”
He added: “The celebrations made a bit more sense in the context of the hours of stories we'd heard earlier in the day from our tour guide on William Wallace, Edwards I and II, Robert the Bruce and the Jacobites.”
Social media users joined in the fun too, with one writing: “Just stepped off the train in Edinburgh to be greeted by throngs of cars driving up and down the roads honking in celebration.
“People singing and dancing in the streets.”
One transatlantic resident of the Capital who spotted the scenes said: “I know the British believe that Americans don't understand irony but I'm pretty sure the people singing ‘It's Coming Home’ and ‘Sweet Caroline’ in the centre of Edinburgh right now are being ironic.”
Meanwhile, tributes have poured in for the England squad that reached the country’s first major final in more than half a century.
The Duke of Cambridge said the players should be “so proud” of themselves for their efforts, while Prime Minister Boris Johnson said they “deserve great credit”.