That means the 36-year-old Scot will now defend only two of the three titles he won in Beijing four years ago – the keirin, in which he is also world champion – and the team sprint, in which he will join Kenny (pictured above) and Philip Hindes.

A gold medal in either event would still make Sir Chris the most successful Briton in Olympic history.

He already has four gold medals and a silver from his three appearances at the Games, starting at Sydney in 2000, when he won a silver in the team sprint.

It would take him past Sir Steve Redgrave, who currently has five gold and a bronze. 

"I am now focused entirely on the keirin and team sprint and my goals for those events haven't changed," said Sir Chris, who was beaten by the 24-year-old from Bolton at the 2011 World Championships, where Kenny inherited the title in January this year after France's Grégory Baugé's results were retrospectively nullified because of a doping offence.

The Frenchman, however, remains a strong favourite to win the Olympic sprint having won the world title in 2009 and 2010 and regained it earlier this year in Melbourne, where Kenny beat Sir Chris in the semi-final before losing his title to Baugé.

"Whilst I'm obviously disappointed not to be defending all three of my 2008 Olympic titles in London, Jason thoroughly deserves this opportunity and has a great chance of success in the sprint." 

Team GB cyclists Sir Chris Hoy and Victoria Pendleton

British Cycling performance director Dave Brailsford added: "Both Chris and Jason are on great form and that made it a difficult choice but we have decided to select Jason to contest the sprint and Chris will concentrate on the keirin.

"We believe this gives us the strongest team possible going into the Games."

That decision leaves Victoria Pendleton as the only Briton chasing three medals.

The world and Olympic individual sprint champion will defend her title and race with Jess Varnish in the team sprint as well as contesting the keirin.

Laura Trott will double up in the omnium and the team pursuit, where she will be joined by Wendy Houvenaghel, Dani King and Joanna Rowsell.

Ed Clancy will do the same on the men's side, joining Steven Burke, Pete Kennaugh, Andy Tennant and Geraint Thomas in the team pursuit.

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