The 29-year-old, one of the world’s most explosive limited-overs batters, joins England white-ball captain Jos Buttler in being forced to exit the tournament early.
Both are now potential doubts for the white-ball tour of Pakistan which starts on September 20.
“Liam Livingstone has been ruled out of the remainder of The Hundred with an ankle injury,” a Birmingham Phoenix statement on Sunday read.
“Livingstone will be replaced by Nottinghamshire batter Sol Budinger who will join the squad immediately ahead of Sunday’s home fixture against Manchester Originals.”
Buttler suffered a calf problem playing for Manchester Originals against Southern Brave on August 18.
England are scheduled to play a seven-match T20 series in Pakistan across September and October.