Liverpool boss Rafa Benitez's summer transfer plans risk being torn up due to the club's financial problems. The Daily Mail says only 48 hours after losing out to Manchester City on the signing of Gareth Barry, and with Glen Johnson - another long-term target - expected to join Chelsea, details of their fragile state became clear.

Owners Tom Hicks and George Gillett were warned that there is "significant doubt on the group's and parent company's ability to continue as a going concern" because of the club's debts.

Though Liverpool's most recent accounts showed a profit of £10.2million, their parent company lost £42.6m, mainly due to interest payments of £36.5m.

That will panic the club's supporters, who are seeing their rivals move quickly in the transfer market - and may even unsettle their star players, just as the club seemed to be gearing up to challenge champions Manchester United.