Tottenham boss Andre Villas-Boas has been sacked by Chairman Daniel Levy, following the club's worst defeat at White Hart Lane for 16 years.
Spurs were trounced 5-0 in the Premier League by Liverpool last night, with much speculation over Villas-Boas' future at the club.
Despite Spurs spending over £100m in the summer, including smashing their transfer record three times, they sit seventh in the Premier League table, nearly 10 points behind leaders Arsenal.
A club statement read: "The club can announce that agreement has been reached with head coach Andre Villas-Boas for the termination of his services."
The 36 year old had previously worked at Chelsea, where he was dismissed for underachieving performances.
Villas-Boas' job status has been widely monitored in recent weeks, as performances, in conjunction with the target of qualifying for the Champions League, have simply not been good enough.
It hasn't been the season many Spurs fans were hoping for at the start of the campaign. Despite being relatively successful in Europe, the club have suffered embarrassing defeats such as losing 6-0 at the Etihad stadium, 3-0 at home to West Ham and of course, 5-0 at home to Liverpool.
The club was in the spotlight during the summer, as they allowed Real Madrid to purchase winger Gareth Bale for a world record £85m. However, Tottenham's own spending spree during pre-season has so far proved to be unconvincing, as the likes of Erik Lamela, Roberto Soldado and Vlad Chiriches have so far not produced their best form.
Spurs are not short on potential replacements, as Roberto Di Matteo, Martin Jol, Steve Clarke, Fabio Capello and current technical director Franco Baldini are all lined up to succeed Villas-Boas.
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