Dame Sue Campbell, the Football Association’s director of women’s football, said it was agreed in November he would lead Team GB.
Neville steps down as England manager when his contract expires in July.
On Thursday, Inter Miami confirmed the departure of manager Diego Alonso, who “have mutually agreed to part ways”.
Neville’s former Manchester United team-mate and friend David Beckham owns Inter Miami.
“We did make a decision that Phil [Neville] would lead Team GB in November and we were moving towards an announcement when he started to have these discussions,” Campbell told BBC Sport.
“Until those discussions are concluded, I can’t really say any more. If Phil remains, he will be Team GB coach. If he goes, we obviously have something to think about and work through. That is where we are.”
Campbell added that Neville had been “absolutely professional” in his communication with the FA and “has been very open”.