Lassana Diarra is unsettled at Real Madrid and seeking a return to England.
The People says the France international midfielder has told friends in English football he is unsure of his future at Real - despite being a regular first-teamer at the Bernabeu.
Liverpool, missing the influence of Xabi Alonso since he joined Real Madrid, and fearing the loss of Javier Mascherano, are certain to renew their interest.
Manchester City agreed a £20million fee to sign Diarra from Portsmouth last January, only to be pipped by Real. Now pint-sized Diarra, 24, could join his fifth club in three and a half years if he quits Real after just a year in Spain.