Former Liverpool and England midfielder Steven Gerrard has agreed a deal to become the manager of Scottish club Rangers, Sky Sports reported on Friday.

The former England captain, who has coached Liverpool's Under-18s since hanging up his boots two years ago, agreed to a three-year deal replacing Graeme Murty, the report said citing "sources".

Reinvigorating Rangers will be a huge challenge for Gerrard in his first management role. The club have won a record 54 Scottish league titles but are still struggling to recover from the financial problems that saw them reformed in the bottom tier of Scottish football in 2012.

It will also put him up against his former Liverpool manager Brendan Rodgers, who is now in charge of 'Old Firm' rivals Celtic and is on the brink of completing a double-treble.