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Picture Pearce (left) - with Capello.

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The FA has released a statement hinting that Stuart Pearce is likely to extend his stay as England Under 21 manager.

Pearce's current contract as head coach is due to expire after June's European Championships in Sweden.

The former England left-back has stated that negotiations over fresh terms are underway, and now the FA has indicated he will lead the team during a friendly against Holland Under 21s in August.

"Stuart Pearce will take his Under 21s side to play their first international friendly match of the autumn against Holland in August this year," the statement read.

"The fixture will be the first game the Young Lions play after returning from June's European Championship in Sweden.

"The friendly against Holland will also mark the start of England's preparations for their Euro 2011 qualifying campaign.

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