Mark Warburton resigns as Rangers boss
Warburton took charge at Rangers in 2015 and guided the club back to the Scottish Premiership as Championship winners in his debut campaign.
But Warburton and his staff David Weir and Frank McParland have decided to leave the Scottish giants and are favourites to take charge at managerless Nottingham Forest.
They leave Rangers sitting third in the table, 27 points behind fierce rivals and league leaders Celtic.
A club statement read: "Rangers has accepted the resignations of manager Mark Warburton, assistant manager David Weir and the Club’s head of recruitment Frank McParland.
"At a meeting with the management team’s representative earlier this week the Club were advised that Mr Warburton, Mr Weir and Mr McParland wished to resign their positions and leave the Club on the condition that Rangers agreed to waive its rights to substantial compensation.
"Rangers’ agreement to waive compensation would assist the management team to join another club.
"This compensation amount was agreed when Rangers significantly improved Mr Warburton and Mr Weir’s financial arrangements before the start of this season.
"The Board urgently convened to consider the offer made on behalf of the management team and its ramifications and agreed to accept it and release the trio from the burden of compensation, despite the potential financial cost to the Club.
"It is important that Rangers has a football management team that wants to be at the Club and that the Board believes can take the Club forward to meet our stated ambition to return to being the number one Club in Scotland.
"We are clearly short of where we expected to be at this time.
"The representative acting for the management team subsequently attempted to alter the terms of what had been agreed in favour of the management team.
"A further Board meeting was held this afternoon to discuss this and it was decided not to agree to this additional request but to hold with the original agreement.
"Mr Warburton, Mr Weir, and Mr McParland have therefore been notified in writing that their notices of termination have been accepted.
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"The Board is very appreciative of the good work previously done by the management team but believes it had no alternative. Our Club must come first and absolute commitment is essential.
"On Sunday Under-20s coach Graeme Murty will take interim charge of the team. We know our support will give him and our team their full backing. We thank our support for their loyalty and desire to be the best."