Matt Crampton was eliminated in the first knockout round of the men's sprint on day three of the Track Cycling World Championship in Melbourne.
However, Sir Chris Hoy and Jason Kenny progressed to leave Britain two competitors in the event.
Crampton's lowly seeding meant he met second-fastest qualifier Robert Forstemann of Germany. The Briton led out the German, but was overhauled on the finishing straight as Forstemann won by a wheel.
Hoy met Ethan Mitchell and the New Zealander built up a commanding lead by bursting clear with just over two laps to go. However, the 36-year-old Scot reeled in his opponent and accelerated past ahead of the line. The effort could have consequences later in the day.
Kenny led out another Kiwi, Sam Webster, and held off a late charge to the line to go through by less than a tyre's width.
In the fourth event of the men's omnium, 2010 world champion Ed Clancy finished third.
The world and Olympic team pursuit champion, who was third overnight after three of the event's six disciplines, clocked four minutes 27.643 seconds in the four-kilometre individual pursuit.
Clancy was the only man on the track for his ride after Italy's Elia Viviani, fourth overnight, did not start. With two disciplines remaining, Clancy was third as Glenn O'Shea of Australia remained first, with Canada's Zach Bell second.
Hoy missed the opportunity to advance to the quarter-finals at the first attempt after being beaten by Mickael Bourgain. Bourgain accelerated clear with more than a lap to go and Hoy was beaten to the line, falling into the repechage.
Kenny avoided the additional ride by defeating New Zealand's Edward Dawkins.