Kalvin Phillips will leave Manchester City this January.
The out-of-favour England international has endured a difficult 18-month campaign since his move from Elland Road in the summer of 2022.
He has fallen way down the pecking order since the arrival of Mateo Kovacic and Matheus Nunes in the summer.
Since joining Man City, Phillips has featured in only 16 league games and just 12 top-flight matches last campaign.
Premier League giants Liverpool and Newcastle United have expressed an interest in the 28-year-old.
But Sky Sports reporter Dharmesh Sheth believes Man City would refuse to sanction a move to Liverpool who they consider as direct rivals.
They want to avoid repeating the mistake of letting Oleksandr Zinchenko and Gabriel Jesus join rivals Arsenal in the summer of 2022.
Sheth told GMS: “Maybe it’s best for everyone, especially Kalvin Phillips, if a move can happen. But he would probably want to go to one of the big six clubs, and I just wonder whether Manchester City would want to do business with what is perceived to be a rival.
“We’ve been hearing noises about teams like Liverpool and other clubs being interested in Kalvin Phillips. I wonder whether they would really facilitate a move to a rival. I think, at this moment in time, Kalvin Phillips will probably just want to play football.”
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