New Birmingham City manager Chris Hughton is resigned to the prospect of losing some of the club's star names this summer but has insisted there will be no cut-price departures.

The former Newcastle boss was unveiled at St Andrew's on Thursday afternoon following Wednesday's appointment, with the 52-year-old having signed a rolling contract.

Hughton spoke to owner Carson Yeung for the first time on Wednesday night and was handed the same remit of immediate promotion back to the Premier League as predecessor Alex McLeish, who stunned the city with his resignation 11 days ago and subsequent appointment at the Blues' bitter rivals Aston Villa.

Hughton has already spoken to acting chairman Peter Pannu privately regarding which players could be lost should the right bid come in and whether that money could then be reinvested.

Star names such as Roger Johnson, Scott Dann, Ben Foster and Craig Gardner have already been linked with big-money moves back to the top flight, although it has been made clear no-one will leave on the cheap.

Asked about the prospect of keeping those players, Hughton said: "I've had very good meetings and what I am aware of, and the consequences of course of relegation, is that there are financial sides that have to be balanced.

"We also have some very, very good players who have shown a desire to want to remain as Premier League players and, as I know, a consequence of being relegated is that I have to balance these issues.

"These are the things that certainly I'll be addressing over the next day or so."

He added: "In a perfect world, I'd like the best squad available but there's a certain part of me that is resigned to the dynamic of the squad changing.

"There's a realisation of where we are after relegation. But it's important that any player leaving this club leaves within a calculation of how the club sees them.