European stock markets settled lower on Tuesday as investors reacted to U.K. Prime Minister Theresa May's surprise announcement to call a snap general election on June 8.

Europe's leading Blue-chip index, EURO STOXX 50 fell 38.48 points or 1.12 percent to settle at 3,409.78. UK's benchmark index FTSE 100 went down 180.09 points or 2.46 percent to close at 7,147.50.

Germany's benchmark index DAX declined 108.56 points or 0.90 percent to end at 12,000.44. French benchmark index CAC 40 shed 80.85 points or 1.59 percent to end at 4,990.25.