McLeish in contract talks

McLeish: In contract talks

We need to improve again and enhance the squad and there will be money to spend but there has got to be prudence.

Alex McLeish.
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Birmingham boss Alex McLeish has confirmed he has opened negotiations over a new contract with club owner Carson Yeung.

Blues vice-chairman Peter Pannu recently revealed the club were keen to thrash out a new deal with McLeish as reward for the progress the club have made under the Scot this season.

Birmingham have been the suprise package of the season, establishing themselves in the top 10 of the Premier League after being tipped for a relegation battle at the start of the campaign.

McLeish is happy to let his advisors work out the financial aspects of the deal.

"We have started negotiations regarding a new contract. I have met Carson and Peter Pannu," said McLeish.

"They gave me some initial figures. I'll get my advisors now to meet with them and will let them thrash it out."

Prudent spending

Meanwhile, McLeish is adamant that he will spend wisely the money made available to him by Yeung for new signings in the summer.

"We need to improve again and enhance the squad and there will be money to spend but there has got to be prudence," he said.

"I said during the January transfer window that I felt I had an obligation, a duty, to make sure that Birmingham go forward with a little bit of stability.

"There was an opportunity to purchase £10million players and pay them £100,000 a week but I had sleepless nights with that one.

"The owners agreed that wasn't the way to go."