Manchester City's hierarchy have given the green light for the club to make a £50 million offer for Liverpool and England star Raheem Sterling, sources have told ESPNFC.
City have already seen two bids rejected for Sterling by Liverpool with their first offer of £25m plus add ons rejected earlier this month before their improved bid of £40m was turned down last week.
Liverpool are thought to be holding out for a fee in the region of £50m before they would consider selling Sterling and, after talks at the highest level, City are ready to go to £50m to try and steer the 20-year-old away from Anfield, sources said.
City chairman Khaldoon Al Mubarak said earlier this month that the club were planning to heavily invest in new players this summer as they looked to regain and make an impression in the Premier League.
Sterling would add versatility to their attacking options and would also boost their homegrown player quota which has been hit hard by the departures of James Milner, Frank Lampard, Micah Richards and Dedryck Boyata.
Sterling's future at Liverpool has dominated this summer's transfer window with the forward turning down the club's offer of a new £100,000-a-week deal in April.
The player's representatives have made it clear that Sterling will not sign a new deal at Anfield, no matter what is on offer from the Merseyside club.
Liverpool have said they would not be forced into selling the unsettled star with Sterling having still two years to run on his current deal, but it City are edging closer to agreeing a suitable fee to enable Liverpool to reluctantly allow the forward to move on, the sources said.
City are looking to get their summer rebuilding plans underway and see Sterling's signing as a major signal of intent at home and abroad, sources said.
Sterling is also determined to have his future resolved as soon as possible and should City seal the signing for a fee of £50m it would make the former Queens Park Rangers youngster the most expensive English player of all time.