Having drawn with Slovakia and lost to Finland, James Scott's team needed to beat Iceland in their final game and hope that Slovakia overcame Finland. Neither of those came through.
Ireland lost 4-1 in Tallaght Stadium, while Finland were 4-0 victors in the UCD Bowl to ensure that they topped Group A and progressed through to the finals tournament.
Scott's team started the game with great determination with Katie McCarn setting up Lia O’Leary but her shot was saved by the Icelandic goalkeeper.
In the 4th minute, Ireland won a free-kick in a fantastic position. Michaela Lawrence took the shot on, it bounced out of the goalkeeper's hands and Abbie Larkin was there to pounce on the loose ball to give Ireland their first goal of the game, 1-0.
In the in 12th minute after an Icelandic corner was cleared, Eyrún Embla Hjartardóttir hit the rebound from outside the box and it flew into the net, 1-1.
Ireland didn’t let the equaliser affect their game, Heidi Mackin and Larkin both had great chances soon after but just couldn’t convert.
After great work again by O’Leary in the 22nd minute, she passed the ball through to Lawrence who just hit the side netting with her effort.
Ireland kept creeping closer, in the 29th minute Larkin released O’Leary on the left and her shot was pushed out to Larkin and her strike was blocked down.
Right before half-time, Iceland took the lead through Emelía Óskarsdóttir after great individual skill.
The second half began with Ireland looking for that equaliser. Iceland did their best to frustrate the Girls in Green however, slowing down play at every opportunity.
The home side made all his substitutions before the 60th minute, with Claudia Keenan, Aobihe Fleming, Joy Ralph, Chloe Atkinson and Jodie Loughrey all coming on to try and make the difference.
in the 69th minute, Larkin now playing in the No 10 role, had a great chance outside the box, but just struck it over the crossbar. Soon after, Ralph had another good chance when she took it onto her left foot, but her strike was saved again. Ireland working hard to find the back of the net.
In the 75th minute, Orlaith O’Mahony’s free-kick was saved and Iceland went on the counter attack. Iceland were through but Keenan stopped them getting their third after a great save.
Iceland got their third goal in the 79th minute with Hrafnhildur Ása Halldórsdóttir putting the ball in the back of the net. Their fourth was added in extra time by Halldórsdóttir again to ensure Iceland the win.
It was a disappointing result for Ireland, but the Girls in Green can be proud of their performances throughout this qualifying round.
Republic of Ireland: Lawless (Keenan 58); Russell, Thompson, Mackin (Fleming 45), O’Hanlon; O’Mahony, Kelly, Lawrence (Ralph 45); McCarn (Atkinson 58), Larkin (C), O’Leary (Loughrey 58).
Iceland: Birkisdóttir (c), Margrétardóttir, Gunnarsdóttir, Hjartardóttir, Helgadóttir; Kristinsdóttir, Gudmundsdóttir, Halldórsdóttir; Óskarsdóttir, Tryggvadóttir, Tryggvadóttir.
Referee: Zulema Gonzalez Gonzalez (Spain).