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The FA are currently having an emergency board meeting to discuss the future of Steve McClaran after Englands failure to qualify for the European Championships. It doesn't take a trained monkey to guess what their decision would be (in fact, a trained monkey may actually have got England to qualify had he been in charge of the team!).
I vaguely remember the 1994 World Cup, where England failed to qualify, and was quite convinced that it would be the last time that happened for a while.
I think us English do have too high expectations for a national team that has only won a major competition once, and that 40+ years ago, but I think the main problem is a lack of cohesion within the team. We DO have world class player. Rooney, Gerrard, Lampard, Terry et al. However, they are unable to perform as a single unit. Chris said in his blog the other week that only one or two of the Scottish team would possibly make it into a combined team between England and Scotland, and it's true - they do not players who are as good as ours - but the difference is, they play better as a team.