
The former Hamilton, Norwich and Preston boss is set to take charge of the League One side on a deal until the end of next season, according to Sky Sports, following the recent dismissal of Lee Johnson.
Neil, who was the early bookmakers favourite for the Hibs vacancy before the club turned to Shaun Maloney, has held off competition from fellow candidates Grant McCann and Sabri Lamouchi, after Roy Keane ruled himself out of the race.
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Hide AdKeane had long been the favourite to make a stunning return to Wearside, but the two parties could not come to an agreement.
The Black Cats have now moved to appoint Neil, who won promotion to the Scottish and English top flights with both Hamilton and Norwich respectively, via the play-offs.
Neil is expected to be in the dugout when Sunderland travel to AFC Wimbledon on Saturday.