Sarina Wiegman’s team came into the tournament defending champions, but slumped to a defeat against France in their opening match.
In their second game against the Netherlands, they took a commanding lead in the must-win tie, running out eventual winners.
Lauren James, freshly returned from injury, starred in the 4-0 victory, scoring twice before being subbed in the second half.
Georgia Stanway and Ella Toone also contributed to the goals.
The performance was much-needed, as a loss would have left their campaign on a knife-edge, relying on results elsewhere.
Going into the competition, the England camp was hit by a series of blows as three senior players pulled out for differing reasons.
England will play Wales in their third and final group game on Sunday, 13 July.
