Nationwide is expected to confirm the end of its sponsorship deal with England after a disappointing World Cup campaign.
Nationwide had left an offer of £20m on the table with the FA, who hired the IMG agency to oversee contract negotiations, wanting a figure more towards £40m.
But after a poor showing in the World Cup the FA's position has been weakened.
A Nationwide spokesman said the group was 'pleased' with the relationship that 'helped raise its profile with customers', but confirmed that the contract was 'unlikely to be renewed'.
It is understood that the FA has been holding discussions with mobile phone company BlackBerry, mobile operators O2 and Orange, and social networking website Facebook to replace Nationwide.