• Tigers not heading for insolvency, say club
• ‘We need to reduce our outgoings to a level that is sustainable’

Hull City have responded to reports about the club’s financial future by insisting that there are no plans for the Tigers to enter administration.

Hull have a £40m annual wage bill which the chairman, Adam Pearson, aims to reduce to £15m, and are currently £35m in debt, but insist they are not heading for a 10-point penalty next season.

“The consequences of relegation have a material impact on the revenues of the football club and, as has been widely reported, the board have been meeting to discuss the management of the transition from the Premier League to the Championship,” said the club in a statement. “This should not be surprising and there are no plans or intentions for Hull City to enter into any form of insolvency process as has been suggested in the media.”

The owner of Hull City, Russell Bartlett, said: “It is obviously very disappointing for everyone at the club to have been relegated. As we had anticipated, we will need to reduce our outgoings to a level that is sustainable over the longer term. The management is working flat out to achieve this objective and I am very impressed with the commitment being shown by our staff.”

Hull CityPremier LeagueBusinessJohn Ashdownguardian.co.uk