New Hull City chairman Adam Pearson has confirmed plans to clearout the squad in January.

Pearson oversaw the club's rise from near bankruptcy to the Championship before the club was bought out by a consortium headed by Paul Duffen.

He subsequently moved to Derby but left Pride Park last week, and Duffen's sudden resignation last Thursday then paved the way for a return to Hull.

Among his immediate tasks will be trimming a wage bill that is reported to have reached £40million.

He said: "We've got some issues but nothing that can't be solved with a bit of hard work and team spirit. We'll get them sorted, I'm sure.

"Everything I can see on those accounts looks to me as though it's solvable and I don't think there should be any dramatic panic about our financial situation.

"Obviously things need tweaking and the wage bill needs looking at but it is not something that frightens or alarms me. I just see it as a challenge.

"It is normal for football clubs to have debts and there isn't a great deal of that here.

"I think it is just that the wage bill needs addressing, the squad size needs addressing and obviously we will work harder on commercial revenue streams as well.

"If there were no challenges or no issues I'm sure I wouldn't be standing here."