The decision is set to end an eight-year association between Carling and the Premier League - and opens the way for Budweiser to sponsor English top-flight football for three years from next season.

The decision will rock chairmen of the 20 Premier League clubs, who were keen to retain Carling.

But the parent company Bass have lost patience and pulled the plug on negotiations following a board meeting.

A statement from Bass said: "Four months ago Carling bosses evaluated a number of marketing options, one of which included the submission of a commercially viable bid to the Premier League.

The final straw was when a meeting of Premier League chairmen failed to give the go-ahead to Carling's bid, believed to be for �13m annually over three years.

Bass Brewer's marketing director Mark Hunter said: "We first presented a bid back in September and understood that it would finally be tabled at the meeting so that club chairmen could make a decision.

"This didn't happen, so we can't let this indecision affect other plans for Carling. This is why we are moving forward with other initiatives.

"We are looking forward to continuing to build on activities that will maintain our successful relationship with English football and also move us into new and exciting areas which will definitely keep Carling at the top."

The decision does not affect Carling's plans for the remainder of the season including the end-of-season celebrations and initiatives such as manager and player of the month.