ANFIELD HOT SEAT
Liverpool monitoring McLeish contract talks
By Harry Harris, Football Correspondent
Birmingham City boss Alex McLeish is again being linked with the Liverpool manager's job after initially being revealed as a potential candidate to replace Rafa Benitez by Soccernet on March 5.
Reports in the UK press claim that Liverpool are closely monitoring McLeish's contract talks with Birmingham and Soccernet has been told that the Scot represents the cheap option to replace Benitez.
McLeish has a buy-out clause of just £1 million in his contract, which expires in 18 months, which means that figure could now be negotiable, if Liverpool decided to move for the Blues boss.
However, Soccernet has also broken the story this week that Aston Villa manager Martin O'Neill is the even bigger name in the frame, should Benitez join Juventus in the summer and therefore forfeit any compensation settlement.
"There is a great deal of talk within the game that Martin O'Neill is highly regarded by Liverpool's American owners," an insider with contacts to the boardrooms of all the Premier League clubs told Soccernet.
"I've heard Alex McLeish's name mentioned, but Martin O'Neill would be the much stronger candidate, and if you asked my opinion he would take the job if it were offered to him."
Benitez signed a new lucrative contract a year ago, committing him to the club until 2014, and Soccernet sources have already told us that it would "cost £15 million in compensation to sack Benitez - and that is why Liverpool won't even think about sacking him".
Liverpool lost the first leg of their last 16 Europa League tie at Lille 1-0 on Thursday to intensify the pressure on Benitez. Even the most hardened Liverpool supporter who has been backing Benitez all season, must now realise that his days are numbered. Only his expensive compensation package is keeping him from any internal debate about his future.
However, if Liverpool fail to finish in the top four, the position Benitez has "guaranteed", then his backing among the loyal fans will evaporate fast.
American owners Tom Hicks and George Gillett have been trying, and failing, for some months to raise £100 million of new investment, but clearly no one is rushing to take a minority stake and then work with two other co-owners.
If there is no new investment, the summer brings a troubled time of trying once again to refinance the debt, and only a low budget new manager would be possible, while Hicks and Gillett cannot fail to be impressed how the former Scotland and Rangers manager McLeish has stablised Birmingham in eighth place on a modest transfer budget.
If Liverpool's results continue to dive in the Premier League, it won't be long before Birmingham will be catching them up.