The 36-year-old is hoping to keep all his better players as he builds for the future, but admits he may sell to fund his recruitment plans.

However, much of what he will be able to do during the closed season will depend on striker Mark Viduka's decision over his future.

Asked if he knows what his budget will be, Southgate said: "Not really because it is slightly dependent on what happens with Mark.

"We have not got fortunes by any means and if I have to move people on to raise funds to do what I want to do, then I would be prepared to do that.

"But having seen what happened last year in the dealings I had, it is important to try to keep your players and build from there.

"Nobody really wants to let their better players go. It is not easy to keep your own players, but it is much harder to get players in from elsewhere, even if the clubs have failed to go up or have gone down.

"There has got to be an overhaul and we have got to fund it in whatever way is feasible.

"If we can do it without moving players on, great, because I do not really want to sell people.

"But if we get a few months down the line and we have to raise money, then I have got to be prepared for the fact we may have to balance the books in some way."

Out-of-contract Viduka would command no fee, but England winger Stewart Downing has been repeatedly linked with Tottenham - indeed, the Londoners have had two bids rejected in the past - while there is speculation that Portsmouth are ready to try to secure Ayegbeni Yakubu's return to the south coast two years after selling him to Boro for £7.5million.

However, while Southgate may be prepared to sell some members of his squad, he is adamant he wants to hang on to those who he believes have major roles to play, and that includes the Nigeria international.

He is currently concentrating on his own targets, and while he is not identifying them publicly, he has admitted he had an interest in Crewe striker Luke Varney before his move to Charlton earlier this week.

However, it is understood Southgate's long-standing pursuit of Arsenal's Jeremie Aliadiere is still very much alive, while West Brom's Diomansy Kamara could be in his sights should the Baggies fail in their attempt to make it back into the Barclays Premier League via the Coca-Cola Championship play-offs.

With limited cash at his disposal, Southgate knows the relegated top-flight clubs and those who narrowly miss out on promotion from the Championship may be a source of potential signings.

And having reaped rich rewards for his £1.75million investment in Sunderland midfielder Julio Arca last summer following the Black Cats' relegation, that is a road he could be prepared to travel once again.

Southgate said: "Those situations help matters, like when we were trying to bring Julio here.

"Sunderland were in a position at that stage where they probably needed to move him on.

"We will have to see if we can make moves on players in those sort of situations.

"But the teams who have stayed up are not really going to want to let their players go unless there is a contractual problem or whatever."