Paris Saint-Germain claimed back-to-back UEFA Champions League titles with a 4-3 shootout win over Arsenal, following a 1-1 draw after extra time in Budapest on Saturday, with Eberechi Eze and Gabriel missing from the spot in heartbreaking fashion for the runners-up.

Mikel Arteta's Premier League champions showed great resilience to take the game beyond 120 minutes in the Hungarian capital, but fell to a second defeat in the European final, 20 years after the Gunners came up short against Barcelona in 2006.

Luis Enrique's Parisians became just the second club besides Real Madrid to win the continental competition in consecutive years in the Champions League.

PSG's first trophy was 55 years in the making, including 14 under Qatari ownership. The second could start what the club hopes is a period of dominance and dynasty-building.

Enrique rebuilt the team swiftly and efficiently, parting ways with big name superstars and building a cohesive and committed attacking squad, capable of shredding opponents with terrifying pace.

The victory marked the Spaniard's third Champions League triumph, making him one of only five coaches to complete a hat-trick – the first coming with Barcelona in 2015.

For a while that trifecta looked unlikely, as Kai Havertz powered Arsenal in front after six minutes, but Ousmane Dembele's penalty midway through the second half helped send a tight game to extra time and ultimately spot-kicks.

Arsenal blinked first with Eze firing wide, before goalkeeper David Raya made a clutch save against PSG's Nuno Mendes. Declan Rice then drilled home to level the score at 2-2.

After Lucas Beraldo put the Ligue 1 winners ahead 4-3, Arsenal defender Gabriel was left with the fifth kick for his side and sailed the ball high over the crossbar to hand PSG the trophy.

The Gunners will still have a victory parade on Sunday after capturing the English title for the first time in 22 years, but the occasion will be tinged with regret after their agonizing defeat in the European final.