Defeat dropped Liverpool one place to 13th and just four points above the relegation places.

Spain striker Fernando Torres, who has been struggling this season, gave Liverpool a third minute lead at Bloomfield Road with a powerful finish from an acute angle.

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But nine minutes later promoted Blackpool, who also won 2-1 at Anfield in October, equalised when Gary Taylor-Fletcher muscled his way past Daniel Agger before beating Liverpool keeper Pep Reina from just inside the Reds' area.

All square at half-time, Blackpool took the lead in the 69th minute.

A diagonal ball into the box was nodded on by Ian Evatt to unmarked striker DJ Campbell whose diving header beat Reina.

Dalglish's latest spell as Liverpool manager, following the sacking of former boss Roy Hodgson, started with a 1-0 FA Cup defeat by bitter rivals Manchester United last weekend.u00a0

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