Luiz Felipe Scolari has been offered a seven-year contract to manage England, according to a report this morning.

The Football Association yesterday confirmed they had held talks with the 57-year-old Portugal coach and his appointment is expected to be announced next week.

Scolari last night attended a dinner with Portuguese football federation officials and reportedly said he was offered the option of leading England for up to seven years.

"He laid out contracts for five . . . and seven years on the table," the Brazilian was quoted as saying by The Times.

Such a long contract would mark a departure from the recent trend of offering contracts of up to four years based on World Cup and European Championship cycles.

Scolari was last night believed to be considering his options having been offered a package believed to be worth £3million a year.

It is claimed a sticking point could be that Scolari may want parity with outgoing manager Sven-Goran Eriksson, who earns a salary of £4 million.

FA chief executive Brian Barwick was given permission to speak to Scolari in March after FA chairman Geoff Thompson contacted his opposite number in the Portuguese football federation Gilberto Madail.

Scolari is under contract as Portugal coach until after the World Cup and reports in that country suggested he is also still to agree the timing of his appointment.

Scolari's emergence as the leading candidate came after the FA's six-man selection panel failed to agree on a domestic successor to Eriksson.

Arsenal vice-chairman and leading FA board member David Dein had been backing Scolari since the start of the process, having had links with him for several years.

Middlesbrough boss Steve McClaren had been thought to be the favourite for the post but there was significant opposition to him on the panel.

Scolari's impressive CV made him the only candidate who would command unity - he won the World Cup with Brazil in 2002 and took Portugal to the Euro 2004 final.