EFL chief executive Shaun Harvey has said that 'B' teams will not feature when the Football League is restructured.
In May, it had been suggested that Premier League 'B' teams could be included lower down the football pyramid, while the possibility remained that Celtic or Rangers could also be included.
However, after discussions took place with EFL clubs on Thursday, both 'B' teams and 'non-English' clubs will not have any place in the proposed new format.
Harvey says that the clubs required to complete a 'League Three' division are likely to come from the National League, with talks scheduled to continue with the top tier of non-League football in the near future.