The 'adjournment motion' in the name of Leader of the House Jacob Rees-Mogg, which would allow for a parliamentary recess to allow more room for the gathering of the party faithful, was defeated by 306 votes to 289.
It marks the seventh defeat in a row for Prime Minister Boris Johnson, who faces an uphill struggle to pass any legislation of note, or even routine motions, through a deeply divided House of Commons.
The recess motion was required as MPs have found themselves unexpectedly sitting this week following the bombshell ruling of the Supreme Court in London that the prorogation of parliament by Mr Johnson's Government was unlawful.
Conservative Party conference is a four-day event which is due to begin on Sunday, with events set to change amid continued chaotic scenes at Westminster.
Some within Government are stressing that MPs will be criticised for being perceived to do damage to the economy of Manchester, which was set to be boosted by the major event.
After the Government lost the vote, Commons Leader Jacob Rees-Mogg announced non-controversial business for when the House sits on Monday and Tuesday next week.
He added that the Domestic Abuse Bill, which has cross-party support, will be debated on Wednesday October 2.
Mr Johnson is due to give his keynote conference speech on Wednesday, but it is expected that it would be rescheduled as it would clash with Prime Minister's Questions.
It is possible that opposition MPs will try and 'seize control of the order paper' in a bid to influence parliamentary business at the start of next week.