Rangers Football Club has confirmed to potential investors that manager Ally McCoist has resigned and is serving 12 months' notice.
During the notice period, the Rangers manager since 2011 will see his salary increase to £750,000 per year.
McCoist’s contract with the club includes the 12-month notice period, but Rangers said in a statement to the stock exchange that they would hold discussions with the 52-year-old “to seek an amicable solution.”
The 54-time Scottish league champions are currently second in the Scottish second tier, nine points behind leaders Hearts.
Despite guiding Rangers to back-to-back promotions since they were demoted to the Scottish third division, the club’s precarious financial state appears to have taken its toll on McCoist.
The club has issued a number of share offers this year order to try to raise the £8m it says it needs by January in order to keep the business going.
Rangers’ full statement read:
The company announces that Alastair McCoist, manager of the first team squad, has resigned.His service contract dated 28 December 2010, which was subsequently amended, has a 12-month notice period.The directors will hold discussions with Mr McCoist to seek an amicable solution in the best interests of the company, and expect to be in a position to make a further announcement before the end of the week.During the notice period, Mr McCoist’s salary will increase significantly to £750,000 per annum.
Despite McCoist’s massive pay rise, the 52-year old’s salary will still be some way off the big sums paid out to managers in the English Premier League.
For example, West Ham’s Sam Allardyce is on an annual salary just shy of £3m, while Chelsea’s Jose Mourinho is paid £8.37m.
Antonio Conte, the former Juventus manager, was the 20th best-paid manager in Europe last season on a salary of £2.5m.
Still, £750,000 is not to be sniffed at, and will almost certainly make McCoist the highest paid manager in the Scottish Championship.
According to figures from the League Managers' Association, the average salary for a manager in England’s League One is £75,000 and £50,000 in League Two.