McLeish has had no discussions with Faulkner or club owner Randy Lerner about whether money will be available for new players in January, and is aware that Villa's wage bill has to be reduced further.
The Scot said: "We aren't as strong in terms of experienced players as we were last season so, as I keep saying, we are going through a transitional period at the club."
McLeish will do everything possible to keep Villa at the top end of the Barclays Premier League, even though he feels Faulkner's European hopes do not necessarily relate to the current campaign.
McLeish said: "We're in eighth position so the European positions are not too far away. But I think Paul means ultimately (in the future) when he says that.
"Of course I don't wake up any morning thinking 'My team are going to be beat.' I'm always very positive about the outcome and looking to finish as high as we can up the table. I know every single Villa fan expects us to be fighting for Europe every year of Villa's existence and I accept those expectation levels.
"Villa fans would be of that mindset because of the history and the heritage so I'll just keep fighting. I'm a rottweiler, I don't give up easily and I'll try and keep the club in a very good stable position and try and get as high up the table as we can with the resources that we've got."
Asked about his January transfer plans, McLeish said: "At the moment we've not had that discussion about whether we will be in the market to bring new players in.
"Randy (Lerner) and the board want to drive the wages down, in terms of the Financial Fair Play (rules), but also in the way that the club is run and not to be doing a Leeds United. That's the state of affairs at the moment. It depends where we're at. If we're in a really healthy position. we'll probably not look to do anything.
"I wouldn't have thought we would, but we haven't had a meeting to say that there's no funds available. The club has got to run within its means. I've not actually asked for any funds as yet and we've still to see Jermaine Jenas playing in the team as well."