Jim Jefferies claims he has no problem working on a tight budget, insisting he had it much worse at Kilmarnock. Hearts supremo Vladimir Romanov has ordered more cutbacks in the light of recent financial results.

The Jambos announced they would step up efforts to slash the wage bill at Tynecastle after announcing their debt had risen by almost £5million to just under £35million for the year ending July 31, 2009.

Players could even be sold in order to raise funds as Hearts attempt to break even in the medium term.

Boss Jefferies reiterated he would be prepared to halve the club's wage bill, describing the playing budget at Tynecastle as "unbelievable".

He also pointed out other teams were in a far more perilous state, including his former side Kilmarnock, who Jefferies managed for almost eight years until January.

"There are a lot of clubs who have got a lot worse financial situations than Hearts," said Jefferies.

"It's not like I've had in the past with other situations where I've had to cut back on minor things - which I'd better not mention."

Jefferies also pointed out the bulk of Hearts' debt was to Ukio Banko Investicine Grupe (UBIG), majority shareholder Romanov's private investment vehicle.

"It's a debt to the bank but we know that's where Mr Romanov is involved heavily," Jefferies said.

Jefferies insists Romanov is "quite rightly" trying to cut back on salaries at Hearts, admitting the club's debt was a "problem".

He added jokingly: "I just had a quick half-hour with Pricewaterhouse this morning and everything's all right."

Jefferies is nevertheless happy to let the Hearts hierarchy dictate his budget, saying: "My side's the playing side.

"When they tell me what the budget is, I've just got to work and get the best I can out of it."