In addition, major basic resources names tumbled on Tuesday after Credit Suisse downgraded its outlook on a few of the stocks in the sector.
Glencore, Anglo American and Antofagasta were among the worst performers on the FTSE 100, all ending more than 6.5 percent lower after Credit Suisse cut their respective outlooks. Glencore traded more than 11 percent lower at one point, taking shares below £1 for the first time.
Meanwhile, BHP Billiton said it might raise cash by issuing multi-currency hybrid debt, in an announcement that preceded shares closing more than 5 percent lower.
Oil prices rocked investor sentiment Tuesday, as prices plummeted on uncertainty surrounding global demand, with Brent crude nearing $48 per barrell and U.S. WTI crude around $45.50. Shares of key European oil companies were shook up by this, with Petrofac and Neste closing sharply in the red.
Europe's pharmaceutical sector was also under pressure after U.S. Democratic presidential candidate, Hillary Clinton, tweeted that she planned to take on "price gouging" in the industry. London-listed Shire and AstraZeneca both closed well over 4.5 percent lower.