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The former England defender had been expected to remain in place but after meeting with Hodgson at Wembley on Wednesday, BBC Sport understands it was decided Pearce should focus all his attention on preparing Team GB for the Olympic Games.
Sutton, his close friend, long-time coach and confidant, is currently tasked with preparing Team GB's track stars for the Olympics at Celtic Manor in South Wales, but flew over to France to follow Wiggins round the 41.5km course in the team car.
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"I do miss picking teams and preparing teams for matches; it's what I've been doing for 20 years," Redknapp said.
They have to be knowledgeable about preparing teams for such a challenging situation.
Currently it is preparing teams in the first edition for the demo day, which will take place on the 26th of October.
"The focus was on how do we prepare teams for the season, football readiness?" Goodell said.
Elsewhere, hospitals prepared teams of doctors to handle an expected surge in cases of pollution-related illnesses.
Scenario planning prepares teams for some of the 'expected unexpected' and enables the organisation to fall back on previously considered responses.
"He has coached with Australia, Wales and the USA and knows what it is to prepare teams to win on the international battleground.
British Athletics performance director, Neil Black, said: "These championships provide a vital opportunity to prepare teams capable of winning medals at this year's European Championships and future senior major championships".
The weekend's games were cancelled as the owners prepared teams of replacement players.
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