The Three Lions, who were undone by a Luis Suarez brace on Thursday, will crash out of the competition if Italy and Costa Rica draw their Group D clash today. Even if they don't draw, England's fate will still be outside of their control.
"Italy are a fantastic team and capable of winning both games but we're clutching at straws," Gerrard said.
"The position we're in is the position we didn't want to be in coming into the tournament, relying on other people's results. It's very difficult at the moment.
"We'll have to wait and see what happens in tomorrow's fixture. The manager will have to wait and see what happens before deciding what he is going to do.
"If there's nothing to play for then I don't know if he'll play a completely different team. But it's a very tough moment, at this moment."