Steve Bruce will pen a 12-month rolling contract with Birmingham City worth around £1.6 million.

The Times says Bruce is set to rip up the remaining two years of his contract and sign a new 12-month rolling deal that will increase his salary and decrease the amount of compensation either side has to pay should they part company.

The new package, that is likely to earn Bruce at least £1.6 million, is a reward for promotion last season, the club's second in his five-and-a-half-years in charge, and should simplify the manager's terms as Carson Yeung, the new director at St Andrew's, prepares to complete his takeover.