Barmby joined his hometown club Hull in 2004
Hull City's new caretaker manager Nick Barmby will be given funds to strengthen the squad when the transfer window re-opens in January.
The 37-year-old took over at the KC Stadium on Tuesday following Nigel Pearson's
departure to Leicester City
"We said this many weeks ago that money to Nigel would be available - a million pounds in January for the transfer window," said Tigers owner Assem Allam.
"That same amount is still available for Nick."
Former England midfielder Barmby, 37, joined Hull in 2004 after a career that saw him turn out for Tottenham, Middlesbrough, Everton, Liverpool and Leeds.
He had been serving as a player-coach at the KC Stadium since last summer when former Middlesbrough team-mate Pearson landed the manager's job.
Head of football operations
“We're looking to build a Hull management team here with Nick at the top of that hierarchy”
"The lads need a bit of stability and continuity. They deserve that, the club deserves that and the fans deserve that," Hull-born Barmby said.
"I know the club and have seen it through thick and thin, even when I was looking from afar in my younger years playing for other clubs in the Boothferry Park years.
"Since we've been at the KC we've had some good times and it would be nice to bring them back as well."
While Pearson's appointment at Leicester saw him take assistants Craig Shakespeare and Steve Walsh with him, Barmby's number two is expected to be named before the Tigers travel to Derby on Saturday.
"We're looking to build a Hull management team here with Nick at the top of that hierarchy and it's a long-term project," said head of football operations Adam Pearson.
"We don't want to be in a position again where we're dismantling a whole backroom team if the manager chooses to leave."
The Tigers lie just one point outside of the Championship play-off places and will face their old manager when Leicester visit the KC in early December.