Zheng Zeguang was due to attend a Commons reception on Wednesday, hosted by the all-party group on China. But after protests, Speaker Sir Lindsay Hoyle and Lord Speaker Lord McFall ruled this out.
In March, China imposed travel bans and asset freezes on five MPs and two peers whom it accused of spreading lies about the country.
One of the sanctioned MP's, Tim Loughton, tweeted: "If the genocidal Chinese regime thinks they can shut down free speech by parliamentarians in a democracy, there are consequences, and in this case, it is that the Chinese regime must not have a platform in the Mother of Parliaments.
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