Collingwood’s men scored the equal highest total of the tournament so far after a blistering 95-run partnership from Eoin Morgan (55) and Luke Wright (45no) helped them to 191-5.
But after the rain came down, the Windies were handed a revised target of just 60 for victory – or 30 from 22 balls – which they achieved with one ball and eight wickets to spare.
Collingwood said: “There’s a major problem with this Duckworth-Lewis in this form of the game. I’ve got no problems with it in the 50-over form. But I know it’s made us very frustrated tonight.
“We’ve played a near perfect game but we’ve lost. It certainly has to be revised for this form of the game.”
It was shades of the Oval last year when the Windies knocked England out of their own Twenty20 competition in a rain-affected match, and also sent the hosts soaring into the Super Eights after beating Ireland on Friday.
England will join them if they can do likewise in Guyana tonight.
Morgan and Wright came together with England toiling on 88-4 and together led the assault – Morgan’s 55 coming in just 35 balls and Wright’s 45 in just 27, including four sixes.
But with the big-hitting Gayle at the crease, the Windies were always favourites to reach their target. He launched one huge six before being caught off Graeme Swann for 25, while Kieron Pollard was stumped by Kieswetter with the very next ball.
But Chanderpaul and Andre Fletcher held their nerve and comfortably hit the eight runs required from Stuart Broad’s final over to see the hosts home.