FIFA has reportedly sent a proposal to its football associations that would revise provisions that banned the use of the poppy symbol on the jerseys of British teams.
FIFA's stance - based on a strict interpretation of its laws against the use of personal, political or religious slogans or symbols - sparked widespread condemnation in Britain, with Prime Minister Theresa May calling it "utterly outrageous" in Parliament.
The article stated that FIFA's new rule will permit the use of the poppy if opposing teams and competition organisers both agree in advance.
Home nation football teams will be able to wear poppies on their shirts during global matches after FIFA backed down.
Last year Federation Internationale de Football Association fined England, Scotland, Wales and Northern Ireland for sporting the poppy on an armband to commemorate Armistice day as it was considered a political symbol.
The holding of a minute's silence, the laying of a wreath and a poppy display by fans before Northern Ireland's 4-0 win over Azerbaijan the previous day led to a £11,770 fine for the Irish FA.
But the ban is now reportedly to be lifted Federation Internationale de Football Association in time for England's friendly with Germany on November 10, the evening before Armistice Day.
England are expected to play Germany at Wembley in November, if they secure World Cup qualification next month.
Only opposition from Germany, which is unlikely, would prevent the poppies being displayed at English football's national stadium.
The new law is expected to be passed by November's worldwide games played during the Remembrance weekend when people don Poppies.
The issue looked likely to be pursued in the courts at one stage after Fifa sanctioned the UK's football associations for using the poppy late past year.
As a result of this, the United Kingdom associations are no longer expected to pay the fines they were hit with previous year.