News, views and top stories in your inbox. Don't miss our must-read newsletter Sign up Thank you for subscribing We have more newsletters Show me See our privacy notice Invalid Email

Hundreds of Islamic State terror fighters are deserting the cause – after their wages were slashed.

The killers were on £260 a month until cash shortages forced the lower rate of £65.

At least 200 IS gunmen have quit and are retreating from northern Iraq to find better pay from other extremists in Syria .

Until recently Abu Bakr al-Baghdadi’s IS terror army had a reputation for being the wealthiest jihadist group in the world.

But they have been unable to access their multi-billion pound war chest because of coalition air-strikes in Iraq and Syria.

IS accountants have reduced cash convoys between war zones because they are worried about drone attacks.

IS commanders are ­increasingly concerned that they could be overstretched financially after their massive expansion into North Africa. A source in Baghdad said: “Fighters have left recently as the money which was once lavished on them has become increasingly less reliable. Some are unhappy with their prospects.”

Video Loading Video Unavailable Click to play Tap to play The video will start in 8 Cancel Play now

Three years ago IS was paying several hundred dollars a month more than al-Qaeda and other rebel outfits.

It has billions of pounds at its disposal from extortion, bank robberies, stolen oil and people-smuggling.