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Nottingham Forest’s hopes of signing Alan Hutton have ended in frustration – after the defender signed a new deal with Aston Villa.

The Reds had held positive talks with the right-back over a two-year contract at the City Ground and had been hopeful that he would move across the West Midlands.

But while Forest believed they were close to agreeing a deal with the 33-year-old and were reasonably confident that he would join, the former Scotland international has instead left them frustrated, after opting to sign a new contract with Steve Bruce’s side.

Villa were always keen to retain the services of the player, who is also capable of playing at left-back – and who played a big part in their top six finish, Hutton starting 30 games in all competitions, along with three sub appearances.

(Image: Getty)

Forest had offered him a lucrative package to move to the City Ground, but Hutton has opted to extend his seven-year stay in Birmingham.

Hutton previously joined Forest on loan, playing seven games for the club in late 2012, during a time when he was out of favour at Villa. But he has started 154 games for Villa during seven years with the club, while making 14 sub appearances, scoring one goal, and has more recently been firmly back in the fold under Bruce.

Hutton was included among a clutch of players officially released by the Championship club today, along with other key figures such as John Terry, Gabriel Agbonlahor and Chris Samba.

Villa are in the midst of a financial crisis, with Forest’s Championship rivals facing a summer of extreme cost cutting, after their failure to win promotion left them on the brink of administration – and certainly facing the prospect of serious issues with FFP rules.

(Image: Clive Mason/Getty Images)

Prize asset Jack Grealish is expected to be sold, in order to balance the books, while speculation continues over the future of manager Steve Bruce.

But they have successfully negotiated a deal with Hutton, that will see him take a pay cut to remain at Villa Park.