- Chelsea changed their mind because of the overwhelming negative worldwide reaction.
- City have also told organizers that they do not wish to be a part of the Super League.
Chelsea and Manchester City will leave the proposed Super League.
Chelsea, whose fans protested against the planned breakaway league outside Stamford Bridge ahead of Tuesday's Premier League match against Brighton, are understood to have changed their mind because of the overwhelming negative worldwide reaction.
The club felt it was in danger of overshadowing all the good work they have been doing in the community on the pandemic, fighting racism and antisemitism.
According to Sky Sports' Kaveh Solhekol, the "totally negative reaction to ESL plans was in danger of totally overshadowing all the good work the club does in the community.
"Chelsea made a last-minute decision last week to join the ESL. They now regret the decision and accept it was a mistake. They felt they had to 'jump on the train because it was leaving the station'. Turned out it was a train to nowhere."
City have also told organizers that they do not wish to be a part of the Super League.
The competition's announcement on Sunday, made by 12 founding clubs - including Manchester United, City, Liverpool, Chelsea, Arsenal and Tottenham from the Premier League - was met with widespread criticism.
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Prime Minister Boris Johnson vowed to "thwart" the competition, likening it to a "cartel", while the other 14 Premier League clubs rejected the proposal and UEFA threatened potential sanctions on the rebel group.
Sky Sports News reported on Tuesday that splits were emerging among the breakaway sides - despite one board member, speaking on the condition of anonymity, insisting "they will not back down".
Analysis: 'They just got it wrong'
Sky Sports' Graeme Souness:
"On the face of it, obviously it is great news. It's a domino effect and hopefully that's the end of it.
"They totally misunderstood the British passion and long family connections of supporting a football club.
"They just got it wrong."
14 Premier League clubs reject Super League proposals
The 14 Premier League clubs not involved in the new European Super League "unanimously and vigorously" rejected plans for the breakaway competition on Tuesday afternoon.
The Premier League met without Arsenal, Chelsea, Liverpool, Manchester City, Manchester United and Tottenham to discuss the newly-announced competition at a virtual meeting.
The two-and-a-half-hour meeting, chaired by Premier League CEO Richard Masters, explored ways to collectively respond to the proposals.
A Premier League statement read: "The Premier League, alongside The FA, met with clubs today to discuss the immediate implications of the Super League proposal.
"The 14 clubs at the meeting unanimously and vigorously rejected the plans for the competition. The Premier League is considering all actions available to prevent it from progressing, as well as holding those Shareholders involved to account under its rules.
"The Premier League would like to thank supporters and all stakeholders for the support they have shown this week on this significant issue. The reaction proves just how much our open pyramid and football community means to people."