As the Labour leader paid tribute to outgoing Speaker John Bercow, he told him he had reduced “some of the strange customs and garments that people wear in this building”.
There were then dissenting sounds from the opposition benches and Mr Corbyn said: “I know you’re all jealous of my tie but it’s okay.”
This prompted laughter and at one point Theresa May is reported to have angrily told colleagues nearby the tie was for Grenfell.
Tory MP Huw Merriman also commented on the tie as he told the Speaker it was “a pleasure” to see him wear an Arsenal tie – and questioned why the Labour leader was not wearing one.
To this there were shouts of “it’s for Grenfell”.
David Lammy wrote on twitter: “Shame on the fools who mocked Jeremy Corbyn for wearing a green tie in solidarity with the 72 Grenfell Tower victims at PMQs.”
Diane Abbott said Tory MPs had “laughed and jeered at it”.
There was a “shocking lack of awareness” from some Conservative backbenchers, Angela Rayner said on Twitter.
On Tuesday, MPs debated a damning report into the Grenfell disaster in the Commons, which called for “urgent action” from the Government and those with the “oversight and direction” of the emergency services.
A minute’s silence was then led by Speaker John Bercow.