Players warned of huge pay cut

The controversial plan has been proposed by Football League chairman Lord Mawhinney to ease the effect of the recession on clubs.

The plan is the brainchild of Reading chairman Sir John Madejski,who has warned that some clubs could go bust if drastic action is not taken.

“This is going to be a difficult year, economically, for a lot of clubs,” Lord Mawhinney warned.

“I advise clubs to review their budgets and make sure that they administer them as tightly as possible.”