"Jack and Heather are no longer engaged," Locklear's rep told People.
Wagner told TMZ.com that he and Locklear "still love each other very much." Their decision to call off the engagement, is said to be "in the interest of their respective families."
The actor says they didn't have enough time to spend with their children because they were planning their wedding. He and Locklear also decided, he adds, that they didn't want to blend their families because their kids were too young and it would be disruptive.
The couple has been dating since April 2007. They'd met on the set of the FOX primetime series, Melrose Place, a decade earlier.
Wagner popped the question in August, and Locklear was spotted wearing a 6-carat diamond ring while she and Wagner were vacationing in London. The couple has been dating since 2007, and once worked together on the FOX primetime soap Melrose Place.
Locklear was previously married to Tommy Lee from 1986 to 1993, and Richie Sambora from 1994 to 2007. She and Samora have a 13-year-old daughter named Ava.
Wagner was married once previously, to his former General Hospital co-star Kristina Wagner (ex-Felicia Jones). The Wagners were married from 1993 to 2006. They have two sons, 20-year-old Pete, and 16-year-old Harrison.
Wagner joined the cast of The Bold and the Beautiful in March 2003.