(Xinhua)
Updated: 2007-11-22 21:36

LONDON -- Steve McClaren was sacked as England coach on Thursday following his side's failure to qualify for next year's European Championships.

The Football Association board announced the termination of his contract after an emergency meeting on Thursday morning, making his 18-month reign the shortest in England team history.

"At a meeting of the FA board this morning the FA board unanimously decided to terminate the contract of England head coach Steve McClaren with immediate effect," FA chairman Geoff Thompson said in a statement.

"We have also terminated the contract of assistant Terry Venables, also with immediate effect."

McClaren's tenure, which had been contracted up to the World Cup in 2010, was brought to an end less than 24 hours after England failed to qualify for Euro 2008.

England lost 3-2 to Croatia at Wembley on Wednesday while only a draw was needed to book their place at the finals in Austria and Switzerland.

McClaren, 46, had only 18 games in charge since he was appointed in May last year but he is expected to be paid more than 2 million pounds in compensation.

"The recruitment process for the new coach begins now and we will do everything to get the right man for the job," said Thompson.

"There is no definitive timeframe for the recruitment of the new coach."

The FA has plenty of time to search for a replacement with the next scheduled fixture a friendly in France at the end of March.

Chief executive Brian Barwick was given authority to identify the new head coach and to report back to the board with his recommendation.

He confirmed that nationality would not be an issue as he leads the search to find McClaren's successor.

Ex-Chelsea boss Jose Mourinho and Aston Villa's Martin O'Neill are the bookies' favorite to succeed McClaren. Former Real Madrid coach Fabio Capello has said he would be interested in the job.

Alan Shearer and Stuart Pearce will be other names tossed into the frame. But clearly it is an unenviable task for Barwick, who tried and failed to lure Luiz Felipe Scolari to England last time around.

Barwick will also lead a "root-and-branch" review of the England team set-up, which would begin with immediate effect.

England's failure to reach a major tournament for the first time since the 1994 World Cup finals will cost the FA at least five million pounds in lost revenues, according to Barwick.