Sorry to hear that you guys haven't been able to solve this issue, and it looks like the two of you have already decided what needs to happen, albeit you haven't articulated it to each other. You guys were good together at times, but it looks like you weren't right for each other. There's a big difference there and hopefully you might be able to salvage an amicable relationship after the break up.
Good luck with the denoument of your relationship.
Break ups suck to go through.