 Palace have struggled since Taylor took over in the summer |
Peter Taylor will not be in charge of the England Under-21 side when they face Holland on 14 November. Bolton assistant boss Sammy Lee will stand in, with Taylor wanting to concentrate on his Crystal Palace job.
But Taylor should return to take charge for February's friendly against Spain and the 2007 European Championships.
"It is more important that I am at Crystal Palace, because our recent form has not been good. I could not go at this time," said Taylor.
"I love working with the Under-21 team and I'm very proud of our achievement in qualifying for next summer's European Championship.
"However, my first priority must be Crystal Palace and at this time I must commit all my time to the club.
"I hope to be available again for the Under-21s next match in February and for the Championships but in the mean time Sammy is the perfect man to coach the team."
 | It's a privilege to be able to step in and take over for this match |
The Football Association is keen to appoint a full-time coach to the position, but it is not known if this will happen before the European Championships.
Lee had been offered the full-time Under-21 post after leaving his role with the senior England team, where he was one of Sven-Goran Eriksson's assistant coaches for five years.
But the former Liverpool midfielder turned down the offer in order to concentrate on Bolton.
Lee said: "It's a privilege to be able to step in and take over for this match - it's great to know I was Peter's choice," said Lee.
"Although it's for one game only it's a pleasure to be helping him out and I'm looking forward to getting involved."