England manager Roy Hodgson says there are reasons for optimism despite the team's exit from Euro 2012.

Hodgson is confident in the ability of the young players at his disposal but concedes the national team must become better in possession.

"We have to be optimistic. We have to believe," said the 64-year-old.

"With this year, with all that's gone on, we can take a small degree of satisfaction. There's not as much negativity now as there was."

More to follow.