Sheffield Wednesday: Steve Bruce has talks with Newcastle United while clubs discuss compensation package

Talks are understood to have taken place between Bruce, who was appointed Sheffield Wednesday boss in January, and the Magpies today.

It is believed Bruce, a boyhood Newcastle fan, informed the Owls' hierarchy on Thursday morning that he wants the chance to lead his hometown team in the Premier League.

The two clubs are still discussing the compensation package regarding the release of Bruce, who signed a one-year rolling contract with Wednesday.

Figures of between £1-5m have been bandied around in the national media in the last few days. But despite reports suggesting that Newcastle would only have to pay a figure closer to the bottom of that price range, The Star understands that any financial package would be significantly higher than £1m.

Corbridge-born Bruce emerged as the Magpies' No.1 choice to succeed Rafael Benitez at St James' Park after the Spaniard walked away following the expiry of his contract at the end of June.

Sources in the North East have indicated Newcastle are eager to make a quick appointment. The Magpies first-team squad are due to jet out to China at the weekend ahead of their campaign in the Premier League Asia Trophy, which begins with a fixture against Wolves in Nanjing next Wednesday.

Bruce, a four-time promotion winner, rejected the Newcastle job twice when he was at Birmingham City, the second offer made behind the back of his friend Sir Bobby Robson when he was still in charge at St James’ Park.

Should Bruce, who has managed 10 clubs, including a spell in charge of the Magpies derby rivals Sunderland, agree personal terms and decide to leave S6, his 18-match tenure would equal that of Peter Eustace as the shortest managerial spell ever at Hillsborough.