NEWCASTLE UNITED will attempt to reach a compensation agreement with Sheffield Wednesday this morning as they look to wrap up the appointment of Steve Bruce as their new manager.

Bruce has informed the hierarchy at Hillsborough that he wants to leave to take charge of the Magpies, but Newcastle managing director Lee Charnley is yet to agree a compensation package with Owls chairman Dejphon Chansiri.

Bruce signed a rolling one-year contract when he took charge of Sheffield Wednesday in January, and is understood to be earning around £1m-a-year.

However, the Sheffield Wednesday hierarchy are holding out for more than £1m in compensation – there have been suggestions they are demanding as much as £5m in order to allow Bruce to leave – and further talks are planned this morning.

The situation is complicated by the fact that Bruce wants to take at least two key members of his backroom staff with him to Tyneside. Steve Agnew and Stephen Clemence form an important part of his coaching set-up in Sheffield, and are expected to join the Corbridge-born boss if he returns to the North-East.

With an agreement yet to be reached, Bruce is taking charge of training as usual this morning at Wednesday’s Middlewood Road training base.

Newcastle officials are keen to push through a deal in the next 24 hours as the Magpies’ first-team squad is due to fly to China on Sunday ahead of Wednesday’s Premier League Asia Trophy opener against Wolves.

As things stand, Ben Dawson and Neil Redfearn will be leading Newcastle in China, although Bruce could fly out at the start of next week if his visa requirements can be satisfied in time.