Mowbray may have to resign

The Bhoys are reluctant to pay the £2million compensation the Baggies are adamant is "non-negotiable" if Mowbray is to discuss terms formally with the Old Firm giants.

That could pressure the Hawthorns chief to force Albion's hand, if he is determined to succeed Gordon Strachan north of the border.

The clubs were preparing to lock horns, as the battle over Mowbray's services threatened to turn ugly after Celtic finally made their move.

The drama could still drag on, with both clubs prepared to play hardball in the inevitable compensation battle, with sources in Glasgow insisting the Bhoys do not want to pay the compensation figure in Mowbray's Hawthorns contract.

That figure is £2million and the bill for Celtic could be in excess of £2.5million if, as widely anticipated, Mowbray is keen to take trusted lieutenant Mark Venus and Celtic legend Peter Grant with him from the West Midlands.

Even a resignation from Mowbray would not end any dispute, as Albion could hold him to the remaining two years of his contract and continue demanding compensation.

But it would at least make his intentions clear, after he remained silent throughout the period of intense speculation.

Chairman Jeremy Peace said: "I made it absolutely clear that Celtic''s approach was not welcome because we have an ongoing project at Albion in which Tony is an integral part.

"We inserted a compensation figure when Tony signed a new contract 16 months ago, to ensure that the club would be suitably recompensed in the event of any other club seeking his services.

"Most people would regard it as a fair figure. It was inserted in the contract in good faith and is non-negotiable, because we don't want to lose our manager.

"Celtic have been made aware of the compensation figure and if they agree to pay this, only then will I speak to Tony to get his thoughts on the situation.

"Until and unless that happens, as far as we are concerned, it is business as usual as we plan for a very important season ahead of us."