Thousands not lucky enough to get tickets for the game packed bars across the capital and huddled around TVs to see the historic victory unfold.
The game triggered painful memories from defeat in the 1970 world cup as well as losses in 2010, Italia 90 and the heartbreak of losing in a penalty shoot-out against the Germans in Euro 96.
Fans were nervous after a shaky start from England but soon found their voices and with goals from Raheem Sterling and talisman Harry Kane the victory has gone some way to exorcising the ghosts of games past.
The noise inside the national stadium from the 40,000 fans was immense with the Three Lions roared on to victory to set up a quarter final against Ukraine in Rome this Saturday. The Duke and Duchess of Cambridge were pictured beaming after attending the game and tweeted “incredible performance @England!” in a tribute to the performance of the team.
A host of celebrities also took to social media including Piers Morgan and David Baddiel who along with Frank Skinner sang the England anthem Three Lions.
Thousands of fans are celebrating around central London and outside Wembley with “Football’s Coming Home” being chanted across the capital.
Meanwhile hundreds of fans joined together and danced in a group as they celebrated England’s win at Trafalgar Square.
They repeatedly sang football chants and others were seen taking pictures to mark the moment.
Charlotte Morris, 25, who works in a secondary school, said: “I feel fantastic. It’s the best day of my life. It only really compares to the World Cup.”
Speaking about how she was going to celebrate, she said: “We’re going to go to Wetherspoon to celebrate and we’re going to get ready for the quarter-final.”
Jake Meredith, 26, a quantity surveyor, said: “It’s incredible, I’m overjoyed. I’m going to go to the pub and have a pint of Guinness to celebrate.”
When asked what he would say to the German fans, he said: “Unlucky, try again in four years. But to be honest, it’s about time.”
Matt Champion, 32, who works in IT and is from Bristol, told PA it was his birthday and he was in the best place to celebrate it.
Speaking about England’s second goal, he said: “It’s unbelievable, I never saw this coming. I bought a cigar in anticipation for the win from Cuba, I’m excited to smoke it. I’m very, very happy. This is the best birthday party I could have ever organised.”
They wore England football shirts from across different eras wore England flags proudly on their shoulders.
Social media was wash with joyous messages celebrating the historic 2-0 win against Germany - considered to considered a bogey team across decades of international football.
Fans also went wild at BOXPARK in Croydon, south London, with raucous celebrations ringing out from the venue.
Sam Brummer, 20, from north-west London and a student at LSE, said of England’s first goal: “It’s the best moment of my life. It’s an unbelievable moment. I’m going to tell my grandkids about it.”
Jay Gittelmon, 20, from north-west London said: “I’ve never felt anything like that, it’s the best moment of my life.”
“I had to use my inhaler as I ran out of breath.”
Ed Sheeran and David Beckham were at Wembley while chart-topping rapper Stormzy was spotted celebrating the win with friends at BOXPARK.
He wore an England top with Jack Grealish’s number seven on the back.
Following the win, celebrities shared their delight on social media.
Piers Morgan tweeted: “My God … it really might be coming home.”
The former Good Morning Britain host also shared a picture from Gareth Southgate’s penalty miss at Euro 96 at Wembley against Germany and contrasted it to a joyous snap of the England manager from Tuesday’s match.
“Redemption,” he wrote.
David Baddiel and Frank Skinner were also at Wembley and belted out Three Lions alongside the other joyous supporters.
After the game, Baddiel shared a beaming picture alongside Olympic hero Mo Farah and wrote: “Might be coming home a bit faster with this lovely fellow on hand.”
A tweet from Ant and Dec’s official account read: “This … is … AMAZING!!! A.”
Former England captain Wayne Rooney wrote on Instagram: “Get in. Come on @england. Well done lads.”
Former Spice Girl Geri Horner said: “Come on England! Well done.”
Comedian John Bishop tweeted: “Well that was satisfying … ”
Prime Minister Boris Johnson shared a picture showing him celebrating Kane’s decisive goal.
He wrote: “Well done @England! We’re all behind you – bring it home!”
Following the Germany result, bookmakers Coral made England 2-1 favourites to win the tournament, cutting the Three Lions from 9-2.