Carlo Ancelotti 'could stay' as Real Madrid manager

Carlo Ancelotti may be retained as Real Madrid manager next season, according to Spanish football journalist Guillem Balague.

The Italian was widely expected to be sacked following a season without silverware, but Balague has warned that president Florentino Perez might not replace him due to a lack of options.

He told Sky Sports News: "The problem Florentino Perez is facing is that he's not in love with anybody. He was in love with [Jose] Mourinho when he brought him to the club, and he has loved other appointments.

"However, at the moment, there is not a clear candidate to replace Ancelotti and he could stay. But if you tell Ancelotti, 'you're going to stay because there is nobody else,' what does that tell you about his authority next season?"

Madrid reportedly offered Mourinho the chance to return as manager.