Fabio Capello Pic/Getty Images

Fabio Capello's shock resignation on Wednesday night threw England's Euro 2012 preparations into turmoil after one of the most dramatic days in English football history.

Capello quit as England manager after a showdown with the Football Association chairman David Bernstein over their decision to go over his head and strip John Terry of the England captaincy.

Capello was due to leave his �6million-a-year job after the European Championships but now his successor -- and the FA will have to deal with Tottenham first if they do want Harry Redknapp -- will have only four months or less to prepare for the finals of a major tournament.

The dispute had been brewing since Friday when the FA board decided Terry, who is standing trial in July where he will deny a charge of racially abusing QPR's Anton Ferdinand, could not be England captain until after the case. Capello, who was not consulted, blew a fuse and told Italian TV station Rai on Sunday that he "absolutely" disagreed with the decision.

That led to Wednesday's meeting and though the FA were not anticipating Capello quitting, both sides were determined to stick to their guns and after an hour of talks that led to the Italian resigning -- and the FA accepting.

Pearce takes charge Stuart Pearce, who served as Capello's assistant, is the England Under-21 boss and will take charge of the Great Britain men's Olympic team this summer, will take charge of the England team for the friendly against Holland on February 29, FA chairman David Bernstein confirmed yesterday.

Fabio Capello's record for England
December 2007 
Played 42, Won 28, Drawn 8, Lost 6
Last match
: v Sweden (friendly), won 1-0
Resigned: February 2012