Manchester City were booed off at Eastlands following a catastrophic home defeat which leaves them only two points away from the Barclaycard Premiership dropzone.

Twelve months ago, Southampton spoiled City's Maine Road farewell by winning at the Blues' old home on the final day of the season.

If that reverse was a let-down, the consequences of this one could be far more significant to a club around £60million in debt and with only two wins in their last 23 league games.

James Beattie's opener and a second-half double from Kevin Phillips mean City's trip to almost-doomed Leicester next Saturday now takes on monumental proportions, particularly as Leeds will fancy their chances of beating Portsmouth the following day.

Not even Nicolas Anelka's 23rd goal of the season could brighten the gloom now surrounding a club who are staring at a financially-crippling drop into the Nationwide League - and the fans who had not already made their way home before the final whistle blew gave full vent to their feelings.

If manager Kevin Keegan felt his return to the dug-out after missing four games with a back problem would have a galvanising effect on a team his assistant Arthur Cox last week declared was showing signs of nerves, he was sadly mistaken.

It was difficult to assess whether the anxiety started in the stands and worked its way down to the pitch or the other way round - but whichever it was the tension was obvious virtually from the first whistle.

City's cause was not helped by the early loss of Steve McManaman to what appeared to be a hamstring injury.

McManaman might not be the kind of midfield scrapper required for this type of situation and he is certainly one of the high earners whose performances have failed to match their salaries during a dreadful campaign of underachievement. But he does exude confidence, something so badly missing from the Blues' performances.

Shredded fingernails might have been avoided had Anelka buried the opportunity Robbie Fowler's astute through ball presented him with after 17 minutes.

But, after showing impressive calmness to advance into the penalty area, the striker elected for precision rather than power with only Antti Niemi to beat and promptly pushed his shot wide.

At that stage, City were well on top, as they have been on so many occasions on home soil this season.

Therefore, it was no real surprise when they fell behind.

Marian Pahars deserves entry into the pass-and-move manual for the way he shot off down the wing having laid a short ball off to Rory Delap.

The rest of the move was textbook stuff too as, having outpaced Sun Jihai on the left touchline, the Latvian delivered a perfect early cross, pure goal fodder for the likes of Beattie, who crashed his header past David James.

What followed must have been intensely alarming for the City faithful, who are bracing themselves for another headlong plunge into the abyss in the rollercoaster history of their club.

The very least they deserved was a few biting challenges as a sign their team were up for the fight. Instead they were forced to watch Southampton stroll round the pitch with barely a tackle to stop them.

The jeers ringing out around the ground as the half-time whistle went would have left Keegan in no doubt that the natives were distinctly restless - and their mood was not helped by an amazing minute of frenzied action which must have left them wondering whether the fickle finger of fate has again decreed a horrible trick will be played on City in May.

When the ball arrived at Anelka's feet after a goalmouth scramble in the Saints area, the Frenchman fired a shot which Niemi might have had trouble keeping out even if it had not taken a wicked deflection.

The ricochet sent the shot spinning towards goal with Niemi on the floor after diving to save the original effort. Somehow though, the Finn managed to hook his foot round the ball with enough power to get it to Paul Telfer, who completed the miracle escape.

Within a minute, Paul Sturrock's men were two up.

Sun Jihai and David James seemed to get in each other's way as they desperately tried to keep out Phillips' far post header after Beattie had flicked on Delap's long throw.

Anelka briefly revived City's hopes when he bundled home Paulo Wanchope's cross late on, but almost immediately any hope the home side had was snuffed out when Phillips' pace saw him burst onto Delap's aimless punt forward.

Three touches later, the former Sunderland man had driven the ball past James and left the Blues facing total misery.

Teams

Man City James, Jihai, Dunne, Distin, Tarnat, Wright-Phillips, Bosvelt (Reyna 61), Sibierski, McManaman (Sinclair 11), Anelka, Fowler (Wanchope 60).

Subs Not Used: Arason, Macken.

Booked: Dunne.

Goals: Anelka 78.

Southampton Niemi, Telfer, Lundekvam, Higginbotham, Le Saux, Prutton, Folly, Delap, Pahars (Anders Svensson 84), Beattie (Hall 89), Phillips.

Subs Not Used: Smith, Fernandes, Ormerod.

Booked: Beattie.

Goals: Beattie 34, Phillips 55, 81.

Att: 47,152

Ref: G Barber (Hertfordshire).