The newly-reformed 1990s pop group are currently sitting in the number two spot with their comeback record Tears on the Dancefloor, while Sheeran remains at number one with Divide.
Despite a nationwide campaign to get the Tragedy hitmakers to the top of the charts, it seems that they have fallen short.
The group’s first album of new material in 15 years was neck-and-neck with superstar Sheeran all week and even became the most downloaded album in the UK.
Obviously not too upset about the chart defeat, they tweeted: “NUMBER TWO. Massive thank you to everyone for your amazing support, we couldn't have done any of this without you #TearsOnTheDancefloor.”
Ian ‘H’ Watkins has previously told Build: “I think we're all loving where we are at the moment and all we wanted was for this album to go top 10, and it's succeeded all of our expectations.
"A year ago, none of this was planned. We were talking about doing a one-off gig at the Royal Albert Hall to celebrate this milestone in our careers, and that's turned into a 22-date arena tour, an album and a single, and it's incredible."
The band were last at number one with their second album Steptacular in 1999.
Over in the singles charts, Zara Larsson and Clean Bandit have nabbed the top spot with Sympathy, knocking Sheeran’s Shape of You into second position.
The singer/songwriter also holds onto the number three spot with Galway Girl, while Harry Styles’ Sign of the Times is at number four.