The Rangers first-team squad have rejected a proposed 15% pay cut.

The offer comes after the Ibrox side's chief executive Graham Wallace admitted at the club's AGM last month the League One outfit's cost base was too high, "even for a top-flight club".

A Rangers spokesman said: "The manager and chief executive continue to examine ways as to how Rangers can live within their means."

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Rangers announced a £14.4million loss in the 13-month period up to July.

Boss Ally McCoist has already volunteered to accept 50% pay cut to help steady the flow of cash running out of Ibrox, while finance director Brian Stockbridge was also forced to hand back a £200,000 bonus awarded to him after the club lifted the Third Division title last year.

But even these concessions have done little to help improve the fallen Glasgow giants' balance sheet.

Wallace told a fiery shareholder meeting on December 19 that Rangers would require more investment if they were to compete with Celtic on their return to the Scottish Premiership, although he insisted there was no immediate threat of the £22million share-issue pot, which was raised a year ago, running out.

It was reported on Tuesday that McCoist had been told that he must make cuts to his playing budget, which currently stands at between £6million and £7million.