Owen Coyle is poised to take over as Burnley’s new manager after the Coca-Cola Championship side came up with £150,000 to help St Johnstone to recover from the loss of the most promising young manager in Scottish football.

The Perth club are resigned to losing the 41-year-old, who will meet Barry Kilby, the chairman of Burnley, today when he travels to Turf Moor for talks after the two teams agreed a compensation package yesterday. Coyle knows Lancashire well, having starred for Bolton Wanderers for three years, and after taking St Johnstone to the semi-finals of the Ten-nent’s Scottish Cup and CIS Insurance Cup last season, he has earned a managerial reputation that has spread beyond the Irn-Bru Scottish League first division.

He and St Johnstone might have been in the Clydesdale Bank Premier League but for a stoppage-time goal from James Grady, of Gretna, on the final day of last season that allowed the Border club to become first division champions ahead of Coyle’s side. However, with only one team able to win promotion, it is by no means certain that St Johnstone could make the step up this term, especially as they have the third lowest budget in the division.

Coyle feels it is time to cash in on his stock as a manager, which rose last term after he humbled Paul Le Guen by knocking Rangers out of the CIS Cup. St Johnstone rejected Burnley’s initial compensation but a new one ensured that Coyle is free to begin negotiations. “Burnley have increased their offer of compensation to a level which is acceptable to us and as such we have given them permission to talk to Owen,” Stewart Duff, the managing director of St Johnstone, said.

Burnley have been without a manager since Steve Cotterill left by mutual consent on November 8. A statement on Burnley’s website read: “Burnley Football Club has today been granted permission to negotiate with St Johnstone manager, Owen Coyle, over the vacancy at Turf Moor. A compensation package has been agreed between the two clubs if Coyle is appointed and he will now travel for talks on Thursday morning.”

Coyle took charge of St Johnstone in 2005. He previously had a spell as co-player-manager at Falkirk with John Hughes. In his playing career, he made one appearance for Ireland in 1994 and represented Airdrieonians, Dundee United, Motherwell and Bolton.

St Johnstone have feared Coyle being poached by a bigger clubs. He was linked with the Motherwell vacancy last summer and Inverness Caledonian Thistle were refused permission to speak with Coyle in August after Charlie Christie resigned, a job subsequently filled by Craig Brewster.

Paul Sheerin, the St Johnstone midfield player, admitted that the players are all-but resigned to losing Coyle ahead of the Challenge Cup final against Dunfermline Athletic at Dens Park on Sunday. “If a Championship club like Burnley want him, the manager would be crazy not to think seriously about a move. I know we have a cup final coming up against Dunfermline but no one here would accuse him of jumping ship,” Sheerin said.

“It would be a huge opportunity for him. If he goes we will wish him all the best and thank him for what he has done for us and the club. Any player would jump at the chance of playing in England and there should be more money to spend at a Championship club than he would get in Scotland.

“He was linked with various jobs in Scotland last season so it doesn’t surprise me that he’s in demand again.”