Cowell 'agrees to £3.5m pay cut'

Simon Cowell has reportedly agreed to a £3.5 million pay cut.

The X Factor and Britain's Got Talent judge is poised to sign a two-year contract with ITV that will see his annual salary fall from £6.7 million to £5 million, according to The Mirror.

However, Cowell voiced delight at the agreement, saying: "I wouldn't work anywhere else."

A source told the newspaper: "The deal ensures the budgets for the programmes Simon loves to make are left more or less intact."

Tonight's X Factor will see the return of Louis Walsh, who has been absent since the death of Boyzone singer Stephen Gately.