The Miss Great Britain Organisation decided to strip her of the title, which she won in September 2015, after being unable to condone her frisson with Alex.
A statement from them read: "Following recent actions within the ITV2 show ‘Love Island’ it is with deep regret that we… have to announce that Zara Holland has been formally de-crowned as Miss Great Britain 2015/6.
“As an organisation we have not taken this decision lightly, we are close to all of our winners and wherever possible stand by them during their reign. That said, we feel we have no decision but to make this decision under the current circumstances.”
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Zara had sex on camera with Alex Cannon
ITV
They continued: "The feedback we have received from pageant insiders and members of the general public is that we cannot promote Zara as a positive role model moving forward.
“We wholly understand that everyone makes mistakes, but Zara, as an ambassador for Miss Great Britain, simply did not uphold the responsibility expected of the title.”
‘Love Island’ continues on Friday (17 June) at 9pm on ITV2.
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'Love Island' Contestants 2016
The 2016 'Love Islanders'(01 of12)
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Scott Thomas(02 of12)
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Scott, 27, is an entrepreneur and club promoter from Manchester and has been single for six years. He is the brother of 'Coronation Street' star Ryan (Jason Grimshaw), and 'Emmerdale' star Adam (Adam Barton). He says: "They support me, but I want to do this on my own. I've been brought up with it so I'm prepared in a way, but it's my turn now. It doesn't scare me, that side of things." (credit:ITV)
Cara De La Hoyde(03 of12)
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Cara, 25, is an international circus performer from Kent and has been single for ten months.She says: "I was on 'First Dates' a couple of years ago. He paid for the dinner which was alright, but he loved himself." (credit:ITV)
Daniel Lukakis(04 of12)
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Daniel, 23, trained as an osteopath and physiotherapist and is now a model. He’s from London and has been single for a year. He says: "I was scouted by David Gandy. I was in the gym, and saw him, and I'd followed his career for a very long time so we had a chat and he put me in touch with his agent, who signed me." (credit:ITV)
Sophie Gradon(05 of12)
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Sophie, 30, is a marketing manager from Newcastle and has been single for seven months. She says: "I used to date Danny Cipriani. Suddenly I was in the papers being called a 'Kelly Brook lookalike', which is nice, as she's stunning!" (credit:ITV)
Javi Shephard(06 of12)
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Javi, 27, is a Surveyor from York and has been single for seven months.He says: "She has to be perfect! She has to be intelligent, athletic and healthy, and just have something about her. She should just be fun. I want a girl with good energy, who makes me happy." (credit:ITV)
Zara Holland(07 of12)
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Zara, 20, is the current Miss Great Britain. She’s from Hull and has been single for two years. She says: "I do like tall, dark and handsome. I like a guy to have nice dress sense. I'd love it if he turned up in a blazer and a baby blue shirt! Not that I'm being picky or anything…" (credit:ITV)
Nathan Massey(08 of12)
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Nathan, 24, is a carpenter from Essex and has been single for seven months. He says: "I knock around with a few of the TOWIE lot - Tommy Mallett's one of my best mates." (credit:ITV)
Malin Andersson(09 of12)
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Malin, 23, is a make up artist from Bedford and has been single for two months.She says: "I was on 'Take Me Out' about four years ago, but I didn't get a date. I think I was too fussy. I kept turning my light off!" (credit:ITV)
Rykard Jenkins(10 of12)
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Rykard, 25, is a personal trainer from Kent and has been single for five months. He says: "I hate it when all girls talk about is how many followers they've got on Twitter. Life's about so much more than that." (credit:ITV)
Olivia Buckland(11 of12)
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Olivia, 22, is a sales executive from Essex and has been single for eight months. She says: "I like a guy with tattoos, messy hair, and muscles. And I like a guy with confidence." (credit:ITV)
Tom Powell(12 of12)
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Tom, 24, is a barman and fitness instructor from Wales and has been single since Christmas.He says: "I talk to my granddad about my love life. He's my hero. He taught me everything he knows. He's with my nan and they're very happy, so he must be doing something right." (credit:ITV)