Former Villa striker Tony Cascarino has warned Randy Lerner – ‘Back Martin O’Neill in the transfer market or risk losing him.’

The pair’s relationship has been under the spotlight this week, after the claret and blues were forced to rubbish unsubstantiated reports O’Neill had quit on Tuesday following a rift with the Villa owner over the club’s direction this summer.

But Cascarino, at Villa between 1990 and 1991, could understand why the manager, who again looks set to miss out on the Champions League, might be getting frustrated after a signing-free January suggested Lerner is starting to tighten the purse strings.

He said: “Was I surprised when I heard the rumours on Tuesday? No. I think Martin O’Neill is a winner. He doesn’t want to be an also-ran. Any time he is not competing he will get frustrated.

“With having no funds in the January window and with Randy Lerner having acknowledged the current climate means the money available 18 months ago isn’t now, I think the Villa job has become very difficult for Martin O’Neill, especially because their local rivals Birmingham have got money.

“Villa’s big mistake is they invested nothing in January They were so close to that holy grail of fourth place, it was a massive opportunity and yet nothing was spent.

“I think that’s where the rumours of unhappiness have come from. O’Neill always spends money. He likes to invest and improve the squad. Things have snowballed.

“You’ve got to finance to be competitive. January told me a big story. There wasn’t the desire.

“I’m sure it didn’t come from the management, I’m sure it came from the very top.”

O’Neill arrived at Villa Park in 2006 on the back of Lerner’s takeover and the American has gone on to invest £179million into the club.

But the club made a record loss of £43.7million last season and players’ wages at £70.6million accounted for 84 per cent of turnover.

Tony Cascarino is an ambassador for the New Football Pools, who this week handed out £4million in its biggest ever top prize payout.

For more information and to play the pools go to www.footballpools.com.