Taylor fee agreed
By Mark Buckingham
Last Updated: 01/01/70 1:00am
Taylor had been out-of-contract at Kenilworth Road but because he is only 20, he was not available on a Bosman free transfer.
When Taylor agreed to a move to Fratton Park, there was disparity between the two clubs' valuations of the promising youngster and it appeared a tribunal would be the sole means of resolving the issue.
However, the two parties thrashed out an accord whereby Pompey will fork out £400,000 up front, with the fee potentially rising to £750,000 depending on appearances.
The First Division outfit's chief executive Peter Storrie was delighted that common sense had prevailed.
Storrie told the club's official website: "Myself and Joe Kinnear thrashed out an agreement that is thoroughly sensible.
"It is based on the lad making appearances for us with £400,000 the initial fee."
Hatters boss Kinnear believes that due to the implications of the ITV Digital crisis, the deal agreed is perfectly acceptable.
"In today's market with the loss of TV revenue, it's a good deal for both parties," Kinnear told Luton's official website.
"We have accepted £750,000 and we wish Matthew all the best. Good luck to him. There are terms in the contract to say that should he reach the top level with England, there could be more on top, depending on how well he does.
"I'm satisfied with what we have achieved."