With both sides level on six points it was England who scored the first try of the game with number six Jamie Gibson driving over the line after 17 minutes, with Homer adding the conversion and a further penalty to give his side a 10 point lead.
Ireland fought back with winger Simon Zebo instrumental in breaking through the English defence and working with centre Brendan Macken, fullback Andrew Conway was released to score out wide for Ireland's try in the closing minutes of the first half.
McKinney missed the conversion but Ireland had clawed back to within four points going in at the break, 16-11 to England.
The English dominated in the second half with two further tries scored by replacement Freddie Burns, the second of which disappointingly came from an intercepted pass after a positive period of Irish possession.
The boot of Tom Homer continued to add to Ireland's woes as he kicked two conversions and a penalty.
The Irish continued to press on into the dying minutes and once again were rewarded for their efforts with a late try from replacement Eoin Griffin under the posts, with Noel Reid adding the conversion.
But time was not on their side and in the end it was a flattering scoreline of 36-21in England's favour, and after their superior second half display, Ireland's hopes of any semi-final placing were dismissed.
Allen Clarke's Ireland U20s now look to their final pool game against the home nation Argentina on Sunday.
Scorers: Ireland: Tries: Andrew Conway, Eoin Griffin; Con: Noel Reid; Pens: James McKinney 3
England: Tries: Jamie Gibson, Freddie Burns 2; Cons: Tom Homer 3; Pens: Tom Homer 5
Ireland U20s: Andrew Conway, Nevin Spence, Brendan Macken (Eoin Griffin 41), Noel Reid, Simon Zebo, James McKinney (David McSharry 69), John Cooney (Michael Heaney (69), Jack O'Connell (Bryan Cagney 60), Niall Annett (David Doyle 69), Stewart Maguire, David O'Callaghan, Brian Hayes (Ben Marshall 42), Rhys Ruddock (Capt.), Dominic Ryan (Brian O'Hara 60), Paddy Butler. Replacements: David Doyle, Bryan Cagney, Ben Marshall, Brian O'Hara, Michael Heaney, David McSharry, Eoin Griffin.
England U20s: Tom Homer, Christian Wade, Andy Forsyth, Tom Casson, Sam Smith, Rory Clegg, Charlie Davies, Lee Imiolek, Jamie George, Mako Vunipola, George Kruis, Charlie Matthews, Jamie Gibson, Jacob Rowan (Capt.), Alex Gray.Replacements: Rob Buchanan, Joe Marler, Calum Green, Jacko Wray, Sam Harrison, Freddie Burns, Jonny May.