Wagg was remorseful over the cocaine incident

An England and Wales Cricket Board panel handed him a lighter penalty because he admitted to using the drug at the first opportunity.

The England A player tested positive after the final Totesport League game of the season against Gloucestershire.

Warwickshire said they will terminate Wagg's contract as soon as possible.

A statement released on Wagg's behalf thanked the ECB for their leniency.

It added: "He is conscious he has let himself, his county and the game of cricket down.

"He accepts his punishment with humility and will do his very best to return to cricket a better and stronger cricketer and person."

A club statement said: "Warwickshire County Cricket Club fully supports the action taken by the ECB.

"It does not condone the use of illegal drugs in any circumstances, and continues to take a very firm stance in such cases.

"In the circumstances, the Club will be terminating Graham's contract as soon as is legally practicable.

However, it will provide the best possible advice, support and encouragement to Graham during his rehabilitation period."

The ECB said it had taken into account Wagg's previous good record.

Normally, players can expect a two-year ban for failing a drugs test.

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But the panel said it was to Wagg's credit he had not asked for the B sample to be analysed and had expressed remorse straight away.

Wagg took five wickets on his Championship debut against Somerset two years ago and toured India with England A last winter.

But he has since been hampered by a back injury and did not make any appearances in Warwickshire's County Championship winning squad during the past season.