It says this is with the aim of "balancing the needs and inclusion of transgender and gender-diverse people in the sport, whilst ensuring we maintain the integrity of elite competitive football".

A Football Working Group has been established to feed back to FA with a policy and recommendations before the country co-hosts the FIFA Women's World Cup with New Zealand from July 20 to August 20 this year.

This includes representation from FA, Professional Footballers Australia, Australian Professional Leagues and State Federations, and is set to collaborate with the Australian Sports Commission and several specialists and medical experts.

The national governing body is set to provide LGBTQ+ training and support resources to the football community through a partnership with Pride in Sport during the process.

FA currently allows players to play in competition which "best represents their gender identity", and this is set to remain in place during the process.

It said it is "committed to living its values and in doing so creating environments where people of all experiences and identities, regardless of background, race, sexuality, or gender identity, feel welcome and encouraged to participate in the world game".

The announcement follows reports of controversy in New South Wales.

Daily Mail Australia reported that some parents had raised concerns over a trans woman being the top goalscorer in a women's football league in New South Wales, and alleged opposing players were injured by her in matches.

Public broadcaster the Australian Broadcasting Corporation, citing New South Wales police and other sources, reported that an investigation has been launched into Kirralie Smith, director of anti-trans lobby group Binary Australia, for allegedly using multiple online platforms to organise harassment and abuse of women players and football organisations.

Smith also allegedly used multiple social media accounts to publish private identifying information without consent, and has previously vowed to "make a mockery" of the FA's policies by registering male players in women's competition.

The debate on transgender participation in women's sport has become increasingly polarised.

In November 2021, the International Olympic Committee approved new guidelines which granted increased flexibility to International Federations to set their own policy.

Its President Thomas Bach recently defended that stance, insisting it was "very clear" and there is "no one-size-fits-all" approach.

In June last year, the International Swimming Federation - now World Aquatics - took the decision to severely restrict the participation of transgender athletes in women's events.

That prompted football's governing body FIFA to launch a review on the participation of transgender players, the outcome of which is yet to be announced.

World Athletics last month banned transgender athletes from its women's competitions.

Critics have argued such a policy is discriminatory, but campaigners against the inclusion of transgender athletes in women's sport have welcomed it on the grounds of fairness.