Morrissey has given up trying to land a record deal after realising a new contract would leave him out of pocket.

The former The Smiths star admits he was ready to record a new album 18 months ago, but the project was scrapped when he failed to find a distributor.

He has now accepted he might not ever release another album after a planned deal with Sony Records fell through, but he is happy just to continue touring.

Morrissey tells Australia's Herald Sun, "The horizon remains bleak. But I accept it now. I exist only in the live arena, or on YouTube, and that's the full extent of it... We were ready to record the album 18 months ago, but there were no takers. I was recently approached by Sony, but the offer was so poor that I'd end up paying for everything with my own personal finances yet splitting the profit with the label. It doesn't make sense."