Theresa May has refused to apologise for the campaign her party ran against Sadiq Khan in the last London Mayoral election.
Labour's Naz Shah confronted her about the "Islamophobic campaign" and asked for explaination.
During London's 2016 Mayoral election the Conservative party are accused of running a campaign which tried to demonise Labour's Sadiq Khan.
It included statements from Theresa May - then Home Secretary - that Mr Khan wasn't fit to be mayor because of false allegations he was linked to extremists.
Ms Shah said: "The London Mayor Sadiq Khan just a few days ago said 'I have never received an explanation, let along an apology, for the openly Islamophobic campaign the party ran against me in 2016 - and the attacks on me still continue.'"
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"Would she now show some leadership and at the very minimum apologise to Sadiq Khan for the Islamophobic campaign run by her party?"
Theresa May refused to take up Ms Shah's invitation to apologise.
Ms Shah also asked about calls for the Conservative party to run an independent inquiry into Islamophobia in the party - led by former Tory Chair Baroness Warsi.
They come after dozens of Conservative party members were suspended over alleged racist comments online.
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The Prime Minister said that as Home Secretary she had taken hate crimes very seriously.
She continued: "Any allegations that are made in relation to the Conservative party are investigated carefully by the Conservative party, and action is taken.
""I am pleased to say that the Communities Secretary and the Home Secretary recently chaired a roundtable on anti-Muslim hate crime.
"This is being taken seriously by the Conservative party and the government."
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