Manchester United are aware they would need to pay Newcastle United around £3million to appoint Eddie Howe, with the compensation fee not seen as an issue as the club assesses their managerial options, TEAMtalk understands.

Sources with knowledge of the situation have told us that United have completed their work on prospective candidates, including Howe, and have factored in the costs involved in bringing him to Old Trafford.

Howe left Newcastle in the summer despite having several years remaining on his contract, meaning United would need to reach an agreement with the Magpies to secure his services.

However, the £3million fee required to appoint the former Newcastle boss is not considered a stumbling block, despite some reports suggesting it could be.

As we have revealed, former Germany and Bayern Munich boss Julian Nagelsmann is another leading contender for the United job, with the German understood to be the preferred choice of the club’s head of recruitment, Christopher Vivell.

Nagelsmann and Howe are internally viewed as the leading candidates as United consider their next move, while former Chelsea and Tottenham Hotspur boss Antonio Conte remains an option.

The club have therefore been assessing a range of potential appointments, with the costs and practicalities of each candidate forming part of their planning.

Man Utd’s Howe costs revealed as likely Carrick sack timeline emerges

As TEAMtalk revealed on Monday, Howe’s trusted backroom staff are also ready to follow him to Manchester if he succeeds Michael Carrick.

Assistant manager Jason Tindall and prospective first-team coach Stephen Purches are both prepared to join Howe at Old Trafford, with their appointments understood to involve an additional fee close to £3million.

United are therefore aware that bringing in Howe and his preferred coaching staff could cost around £6million in total, but the financial implications are not believed to be an obstacle.

Carrick remains in charge for now and was at United’s Carrington training headquarters on Monday, where he watched a youth game as discussions over the club’s managerial future continued.

Behind the scenes, sporting director Jason Wilcox has been leading talks alongside chief executive Omar Berrada as the club work through their plans for the next stage of the season. Co-owner Sir Jim Ratcliffe was part of the talks, via video link.

We understand the INEOS supremo remains behind Wilcox, and he will back his final decision on the Carrick situation.

Sources have already indicated that United are likely to part company with Carrick before Saturday’s Premier League clash with Chelsea at Stamford Bridge.

A formal decision has yet to be confirmed, but those familiar with the situation expect the club to make a change before that fixture.