Terry stripped of England captaincy
The decision was explained to the Chelsea defender and England manager Fabio Capello by FA chairman David Bernstein in phone calls this morning.
The FA said in a statement: "Following the decision to adjourn the court case against John Terry to July, the
Capello will be free to pick Terry for England friendlies and UEFA EURO 2012.
Terry has been accused of racially abusing QPR's Anton Ferdinand, a charge which he denies, during a match at Loftus Road in October last year.
It is the second time the Chelsea captain has been stripped of the England armband having also lost it two years ago after allegations surrounding his private life came to light. Capello did not take part in the discussions on the captaincy but will choose Terry's successor.
The FA statement added: "The FA board expected the trial to be concluded prior to the European Championship. Further to Wednesday's confirmation that the trial will not take place until after the tournament, the board has discussed the matter in detail and has collectively decided it is in the interests of all parties that John has the responsibilities of captaincy removed at this time.
"This decision has been taken due to the higher profile nature of the England captaincy, on and off the pitch, and the additional demands and requirements expected of the captain leading into and during a tournament.
"The FA board can confirm that he has not been excluded from the squad and that Fabio Capello is free to select him for the Holland fixture on 29 February and the European Championship.
"FA chairman David Bernstein has spoken to both John Terry and Fabio Capello to explain the facts to them. Fabio Capello has not been involved in the FA board discussions which reached this conclusion, but understands that the FA board has authority to make this decision.
"Fabio Capello will take the decision as to who will be made captain moving forward. This decision in no way infers any suggestion of guilt in relation to the charge made against John Terry. The FA will be not be making any further comment on this matter."