Verstappen now leads Hamilton 6-3 for pole positions this season and is in a good position to claw back Hamilton's eight-point lead in the championship.
Seven-time world champion Hamilton was a distant fourth, behind Finnish team mate Valtteri Bottas in second and McLaren's Lando Norris in third.
Verstappen, who passed the Briton with four laps to go only to have to hand back the lead for exceeding track limits, finished a mere 0.745 seconds behind after starting on pole position.
The 22-year-old Racing Point driver's shock result on the slippery surface ended a run of 14 successive poles for dominant champions Mercedes dating back to last year's Abu Dhabi Grand Prix.
Max Verstappen delivered Red Bull’s first victory at Silverstone since 2012 when he made the most of a superior strategy in sizzling conditions to beat both Mercedes and claim victory in the 70th Anniversary Grand Prix.
With Ferrari looking to replace four-time world champion Sebastian Vettel, Red Bull's Max Verstappen said in an Instagram Q&A that his former teammate Carlos Sainz is the most likely candidate.
The 'Not the Aus GP' organised by Veloce esports will be live on Twitch.TV and YouTube from 1745 GMT.
Max Verstappen sealed pole position at the Brazilian Grand Prix and served it up to a delighted Red Bull team principal Christian Horner as a 46th birthday present.
The Dutch driver who won the last two Mexico Grand Prix races was stripped of his pole position by race stewards for failing to slow down for a yellow flag that was waved after a Mercedes driver Valtteri Bottas crashed.
World champion Lewis Hamilton, who had already sealed his fifth Formula 1 title, cruised to victory finishing ahead of German Sebastian Vettel, with Dutchman Max Verstappen (Red Bull) in third.
The win was Hamilton’s 10th of the season and 72nd of his career. The Briton had already won the drivers’ title for a fifth time.
Having just turned 20 last week, second-placed Dutchman Max Verstappen is already the youngest Formula One racer to take pole position.
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