Last updated : 12 January 2003 By Editor

From The People:

And millionaire builder Steve Morgan - one of Liverpool's leading shareholders - told the club's board they are in more peril of going into the red in those circumstances.

Morgan, who has five per cent of the club, said at the AGM: "We are close to a situation you see at Chelsea and Leeds United.

"We made £9m profit last year but that was only because we sold Robbie Fowler. Without that we would have made a loss.

"If we don't qualify for Europe or don't have a Cup run - and you saw what happened against Sheffield United - are we not taking this club to the cliff edge?"

Morgan pointed out that Liverpool had spent £64m more than they earned in the past four seasons, an average of £16 million-a-year.

The huge injection of £42m from Granada helped finance one of Houllier's recent spending sprees and Morgan said: "I don't believe the Fairy Godmother will come round again.

"My concern is the future. We should be comparing ourselves to Manchester United - which is a four-letter word around here - rather than Leeds and Chelsea."

Morgan, who has bid for a place on the board before and been rejected, owns the Redrow group.