Paul Scholes has criticised Manchester United's decision to terminate Sir Alex Ferguson's ambassadorial contract, describing the move as "distasteful."

The iconic Scotsman, now 86, had transitioned into a global ambassadorial role following the conclusion of his 26-year tenure in 2013. The role was reportedly worth £2.13 million per year.

It emerged earlier this month that Ineos chief Sir Jim Ratcliffe informed Ferguson in a meeting that his contract would be terminated at the end of the season as the club continues its efforts to cut costs.

Ratcliffe’s decision has divided opinion among the fanbase and several former United players. Scholes, who rose through the ranks during Ferguson’s reign, expressed his displeasure with the decision.

Speaking on TNT Sports ahead of United’s Europa League match against Fenerbahce, Scholes said: “I thought it was a little bit distasteful, given what that man has done for the club. It feels a bit disrespectful, but they’re new owners, and new owners make changes, thinking it’s in the best interest of the club.

“If they think they can save whatever money—there’s been talk of £2 million—if they believe it can be used elsewhere, then so be it. This club owes a great deal to Sir Alex Ferguson. It is where it is today largely due to the success he brought over so many years.

“The timing of it was poor, as well. You’d think, given they’re on a bad run of form, could they not have waited or done it before the season started, or at the end of the season?

“The publicity surrounding it wasn’t great, but Sir Alex Ferguson will be fine. He’ll go on and remain the greatest ambassador the club has ever had.”

Former Manchester United manager José Mourinho, now in charge of Fenerbahce, was also asked for his thoughts on the decision ahead of Thursday night’s fixture against his former club.

He said: “My relationship with Sir Alex was amazing, incredible. When my Netflix documentary comes out, you will understand more about why I have so much respect for him.

“The ambassadorial role? I don’t know the situation, and it doesn’t matter why or what. Sir Alex has the most important thing, which is the love and respect of every Manchester United fan around the world. That’s more important than the ambassadorial role. It’s more important than a few pounds he could make—he doesn’t need that. What’s truly important is the love and respect he has.”