The Three Lions' U21 coach will replace Gareth Southgate, on a temporary basis, ahead of the international tournament that starts next month.
Carsley has been among the England ranks since 2020, initially taking charge of the U20 squad.
The former Everton and Derby County midfielder had been the U21 manager since 2021.
Carsley led that team to U21 Euros glory last summer, beating Spain 1-0 in the final to secure England their first title in the competition since 1984.
Carsley said: “It’s an honour to step up and lead this England squad on an interim basis. As I am very familiar with the players and the cycle of international football, it makes sense for me to guide the team while the FA continues the process to recruit a new manager.
"My main priority is to ensure continuity and our goal is to secure promotion in the UEFA Nations League.”
His first match in charge of England's senior team will be on September 7th against Ireland.
Mark Bullingham, the FA's CEO, said: “Lee is a fantastic coach who is well known to the majority of our current senior squad having worked with most at international or club level. He offers us a very strong interim solution and we are confident he will perform well in the UEFA Nations League games ahead.
"We are grateful to Lee for stepping up to manage the team while we continue with our recruitment process.”
In Carsley’s absence from the U21 set-up, Ben Futcher will take charge of that side for September’s 2025 U21 Euro qualifiers, with respective backroom teams for both squads to be confirmed in due course.
Carsley's managerial career began in 2012, just a year after hanging up his boots.
He took over at Coventry, his last club as a player, as caretaker manager on two occasions, in 2012 and again in 2013.
In 2015, he was named head coach of Brentford - where he was already a member of staff at the time - but was replaced by Dean Smith after five matches in charge.
In 2017, Carsley was named caretaker manager of Birmingham before Steve Cotterill was installed - after becoming his assistant, Carsley left the club in 2018 when Cotterill was sacked.
