Ralf Rangnick is now reportedly in pole position for the vacant West Bromwich Albion job after Birmingham City warned them off Chris Hughton.

Blues boss Hughton has long been the favourite to replace Roy Hodgson, who left the Hawthorns earlier this month to succeed Fabio Capello as England manager.

However, Birmingham have demanded a £2m compensation fee after West Brom finally made their long-awaited approach, a figure that the Baggies are apparently unwilling to pay.

Former Schalke manager Rangnick is without a club since leaving the German outfit following their Champions League semi-final exit in 2011.

Now the West Brom hierarchy have lined up the 53-year-old and may already have offered him the job, according to the Birmingham Mail.

Claudio Ranieri and Ray Wilkins have previously held talks about taking the post.