MIDDLESBROUGH boss Steve McClaren has handed England coach Sven-Goran Eriksson a massive boost by declaring that Gareth Southgate is on course to be fit for Euro 2004.

The Boro skipper is poised to step up his recovery from the knee ligament injury he suffered a month ago.

That will be welcome news for Eriksson, who has been forced to discount the banned Rio Ferdinand and Newcastle's Jonathan Woodgate through injury at the heart of defence.

Southgate, 33, is targeting the pre-tournament friendlies against Japan and Iceland at the City of Manchester Stadium at the start of next month for a return to action after being ruled out for the rest of the domestic season.

Eriksson is due to name his provisional squad for Portugal a week on Monday and McClaren revealed: "Gareth is doing very well. There's still a bit of a way to go, but he's on course.

"The brace has been taken off his knee and he has full flexibility. He just needs to start running. He's very hopeful and he's aiming to be fit for the games against Japan and Iceland.

"He's working so many hours with the physios here to get fit that, if anyone deserves to have as much time as possible, it's Gareth.''

Sol Campbell and John Terry are England's most likely centre-back pairing, but Boro's Ugo Ehiogu has also emerged as a squad contender along with Matthew Upson, Ledley King and Anthony Gardner.

"Sven asked about Ugo last week and I'm very pleased because he had a good game against Liverpool,'' said McClaren.

"He certainly has the experience and he'll be one Sven is looking at. He had seven months out because of injury and he's shown good character to come through. When they play together, Southgate and Ehiogu are the bedrock of our team.''

McClaren was cagey when asked about the possibility that he could reprise his coaching role under Eriksson after news of Brian Kidd's battle against prostate cancer.

The Boro manager knows much is expected of him on Teesside this summer as he looks to bolster his squad for next season's UEFA Cup campaign.

McClaren, who has already discussed targets with chairman Steve Gibson, has stressed that a 20-goals-a-season striker is a priority in his recruitment drive.

Leeds' Mark Viduka remains a prime target and he has also expressed his interest in fellow Elland Road frontman Alan Smith.

But McClaren is equally eager to secure the services of his existing staff and yesterday revealed he is "very confident'' that he can agree deals for right-back Danny Mills and winger Bolo Zenden, who have been on a season's loan from Leeds and Chelsea.

"We're determined to hold on to Danny and Bolo and I'm very confident that we can get them here next year,'' said McClaren.

"They know we want them and it's something we're looking to do before the end of the season.

"Bolo has indicated that he's had a terrific year and loves it here. He says it's a great option to come here, but he's still a Chelsea player and he has to find out what's happening before he makes a decision. The uncertainty there over the managerial situation is a factor.''

Boro host Kevin Keegan's Manchester City today in their final home game of the season with McClaren anxious to halt a run of three defeats.

He said: "The last three games have been frustrating. After winning the Carling Cup we collected 14 points before losing the last three.

"Our performances have been good and we've created chances, but there has been no end product and that sums up our season and our failings. But let's not forget this has been an historic year for this club. Everybody I speak to on the streets appreciates that.

"We'll try to put on a performance and hope they renew their season tickets because we have European football next season.

"I've sat down with the chairman and there's a determination within the club to build on what we've done this year.''

McClaren has drafted Darlington-born winger James Morrison, 17, into the squad as he contends with a spate of injuries.

Juninho, who missed Sunday's 2-0 defeat at Liverpool with a thigh injury, is again a major doubt.

Fellow Brazilian Doriva, the Boro players' player of the year, had groin surgery on Tuesday and is out for the remainder of the season.

With defender Chris Riggott having suffered a recurrence of an ankle injury, McClaren must decide whether to hand 17-year-old centre-back Matthew Bates a senior debut.

But he is also toying with the idea of switching left-back Franck Queudrue into the middle.

McClaren said: "I looked out of the window and saw five or six players hobbling in, so it doesn't bode well.''

Meanwhile, McClaren insists he will assess Danny Graham in pre-season training before deciding whether the 18-year-old striker can return to Darlington on loan next term.

"We're going to look at Danny in the summer and make a decision then,'' he said.