Parling, who has been arguably England's best forward in the two defeats to the All Blacks, suffered a hamstring strain in the 28-27 second Test loss in Dunedin and has not recovered sufficiently.
The 30-year-old's absence has led to Joe Launchbury joining Courtney Lawes in the second row at Waikato Stadium.
"Geoff is not 100 percent right so Joe will start with Dave Attwood coming on to the bench," England coach Stuart Lancaster said.
Losing Parling, who has come back from double shoulder surgery to menace the All Blacks, will put a dent in England's hopes of ending the tour with a Test victory.
He made 21 tackles last weekend and has also run the near faultless England lineout.
But the Launchbury-Lawes combination worked well in the Six Nations and Lancaster will be hoping they can resurrect that form.
However, the England coach admitted earlier in the week Launchbury, who was originally demoted to the bench for the series finale, was starting to feel the effects of a long season.
"Joe has found the intensity quite tough over the last two games," Lancaster told rfu.com. "He has found it harder to recover between games."
The 23-year-old will need to find that energy and intensity if England are to avoid a whitewash and claim just their third win on New Zealand soil.
Rotorua-born hooker Dylan Hartley, the most experienced player in the squad with 57 caps, says to do that England must cut down their errors and make the most of their own scoring opportunities " something they have failed to do in the past two weeks.
"The All Blacks in the last two weeks have shown why they are world number one," Hartley said. "If we want to get to that level we have got to be closing these games out."
Hartley added: "I don't want to go away on a five-week holiday with a loss. It's bad enough week-to-week when you lose.
"When you have five weeks to dwell on your last game you want to have a win.
"We've given a good account of ourselves in the last two weeks and the icing on the cake would be a result to go our way."