Gunnar Halle was poised to join promotion-chasing Wolves on loan after rejecting City's offer of a new contract.

Gareth Whalley and Andy Tod were also set to make deadline-day loan moves with Whalley returning to Crewe and the big Scot returning north of the border to Hearts.

But it is Halle's departure to Molineux that will shock City fans.

The veteran Norwegian defender has been one of the most consistent players this season and City wanted to keep him for another year.

But Halle and his agent met the club yesterday for talks and failed to reach agreement. Instead he is likely to make a short-term switch to Wolves for the remaining five games of their push to the Premiership.

City chairman Geoffrey Richmond said: "In view of the fact he has done so well we would wish to retain his services for one more season.

"We made an offer which was unfortunately not acceptable to Gunnar Halle because it was significantly lower than his current package which he signed before our first season in the Premiership.

"It became clear there was a significant gap between what we are able to offer and the expectation of Gunnar. The breakdown of talks was extremely amicable and it's not a closed door - but the indication is that there is an unbridgeable gap."

Halle, 36, has recovered from a recent broken rib to prove a defensive mainstay for the side at both centre-half and right back.

Boss Nicky Law said: "His level of fitness is an example to other players."

Richmond added: "At the meeting we informed Gunnar of Wolves' interest on taking him on loan although there is no long-term interest."

Midfielder Whalley has started six games under Law but has again been dogged by injury.

Like Halle, he is out of contract in the summer and it seemed unlikely he would be kept on.

And Tod has been out in the cold since his hand-ball blunder cost City a victory at Rotherham 12 days ago.

The utility player, signed by Jim Jefferies from Dunfermline last autumn, was axed from the starting line-up after the defeat at relegated Stockport.

Since then he has appeared only

once as a substitute at Millmoor, where he gave away a penalty in the final minute.

Hearts boss Craig Levein is looking for cover for injured skipper Steven Pressley and said: "Andy falls into the category of player we're after.

"He's got Premier League experience and knows what the Scottish scene is like."

Law has begun his revolution of the dressing-room by bringing in youngsters Michael Standing and Tom Kearney, the 20-year-old midfielder from Everton who will be on the bench at Watford tomorrow.

But Richmond said there were no plans to bring in anyone else before today's 5pm deadline.