The Daily Mirror claims the midfielder could return to Tyneside this month, despite admitting to an assault on a former team-mate when he appeared in a Manchester court yesterday.

The one-cap England international is expected to be given a suspended sentence after entering a guilty plea to assault occasioning actual bodily harm on Ousmane Dabo when they were playing colleagues at Manchester City.

The troubled player is currently serving a six-month sentence in Liverpool's Walton jail after an incident in his hometown's city centre last December.

But it is now believed he could be released early on parole.

The £6m signing would still face problems off the field on his return to St James's Park.

Club owner Mike Ashley has been reported to have tried to get Barton to take a 50 per cent cut in his £60,000-per-week pay deal.

But he refused the request and is said to be ready to rejoin Kevin Keegan's squad - who reassemble for pre-season training on July 7 - on his eventual release from jail.

Newcastle owner Mike Ashley and his team of aides may yet try to find Barton a loan move away from Tyneside, but the player is happy to pick up where he left off at St James's Park.

Bolton Wanderers were reported to have expressed an interest in Barton but wanted to wait for the outcome of the Dabo trial.

Reebok boss Gary Megson may now look into taking him on loan and part-sharing his salary with Newcastle.