Tony Smith stepped down as England coach 12 hours after the 46-16 loss to Australia in the Gillette Four Nations final at Elland Road on Saturday night. It was Smith's intention, however, even before the tournament not to seek an extension to his part-time contract as national team coach.

After batting off questions about his future at the after-match press conference, Smith confirmed his departure on BBC Five Live's Sportsweek programme. It's a decision that will allow him to concentrate fully on his director of coaching role at Warrington who, it is understood, were not keen on him continuing to do both jobs.

“I have greatly enjoyed my time as national coach and wish the team all the best in the future," Smith said. "All of my coaching career I have put my personal aspirations first. However, I must now consider the needs of my family.

“After talking to them it is clear that it is very difficult for me to cover the demands of both the club and international game. Next year the Four Nations is in the southern hemisphere and after a long domestic season with Warrington it would mean at least six weeks away from home with England.

“I must consider my family’s needs as well as my own, and therefore believe now is the right time to stand down. I will continue to support the national team in any way I can and wish my successor the very best of luck.”

Smith, 42, added: "I'm stepping down ... even if we had won last night, I'd still have stepped down." Smith also pledged his help to the RFL to find his successor, who will oversee the England Under-20 team and mentor the U20’s coach, with the League looking at a full-time appointment.

That would mean existing Super League coaches giving up on their club job, which would probably rule out a number of potential candidates, including the likes of Hull KR's Justin Morgan. Wakefield's John Kear, who coached England in the 2000 World Cup, may come into the reckoning.

It is unlikely, though, that Bradford's Steve McNamara, Smith's England assistant, would step up. From outside the game, former Wigan and Great Britain great Shaun Edwards, the London Wasps and Wales coach, would be a widely applauded choice, although Edwards relinquishing his rugby union duties is probably not on his agenda at this stage.

That leaves the man who has been whispered about for weeks as a possible successor and is at least free to take up the job, if he so wished - Ellery Hanley, Great Britain coach in 1994, whose most recent success was earning promotion for Doncaster.

The new man will work with the Head of the England Elite Training Squad to develop a four-year plan to produce 30 world class players for the 2013 World Cup.

"Tony explained to us before the start of the Gillette Four Nations his reasons for not wanting to continue as national coach, which we appreciate, and we wish him well for his future," Richard Lewis, the RFL executive chairman, said.

"Our aim is to win the 2013 World Cup and by including so many youngsters in his Four Nations squad Tony has certainly set the wheels in motion to achieve this."

Saturday's game at Elland Road was Smith's 16th in charge of the national side. He enjoyed ten wins, the highlight of which was a 3-0 Test series whitewash of New Zealand in 2007, but he suffered two losses to the Kiwis in last year's highly disappointing World cup campaign, during which England also suffered a record 52-4 loss to Australia. Last night's defeat to the Kangaroos followed a battling 26-16 defeat at Australia's hands in the group match at Wigan.

The former Huddersfield and Leeds coach was the second Australian to take charge of the national side following the reign of David Waite from 2000-03, although Smith took out dual citizenship in the run-up to the 2008 World Cup. He remained full-time until March this year, when he returned to the club game with Warrington and relinquished his role of technical director with the RFL. He guided the Wolves to their first Challenge Cup success for 35 years in August and is contracted at the Halliwell Jones Stadium until the end of the 2011 season.

Smith's legacy from the Four Nations is a crop of youngsters, including Kyle Eastmond, Sam Tomkins and Richard Myler at half back, who he feels can eventually challenge Australia, but who will be even more formidable opponents in their backyard in next year's tournament.

"With the World Cup in 2013 on the horizon it is absolutely essential that we identify a Head Coach who can join a team of elite performance professionals and drive the RFL’s aspirations to produce more quality international players for years to come, who are well prepared and perform to their ultimate capability," Lewis said.

"A great deal of investment has been made in the Performance and Coaching team to make it World Class and the new Head Coach will benefit from working with some leading experts in the field of sports science, player development and elite athlete preparation.

"With England not set to play an international before next June [against France] we will take as much time as necessary in order to find the right man for the job."