Liverpool hero Phil Thompson has sensationally revealed Newcastle United great Alan Shearer was ready to move to Anfield in 204.

Thompson says Shearer had told then Reds manager Houllier he wanted to leave St James' Park.

"Gerard came to me and said 'we can sign Alan Shearer and he wants to come to us'," Thompson, then Houllier's No2, told Paddy Power's From The Horses Mouth podcast.

"I said I thought he was using us – because I knew he wanted a new contract at Newcastle.

"Gerard said he'd spoken to Shearer, who told him he wanted to come to Liverpool. He was convinced that the deal was done.

"So Rick Parry (former Liverpool CEO) went to Newcastle, asking for first refusal if he became available. They absolutely s**t themselves. The very next day, Alan signs a new contract – he got the two years he asked for.

"I'm in Gerard's office, and who comes in on the phone? Alan Shearer. Gerard puts it on conference call so I can hear, and the first words out of Alan's mouth were: 'I didn't just use you to get a new contract at Newcastle, you know?'

"Michael Owen fell out with Shearer years later, and Michael always used that incident against him."