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Sources: Liverpool beat Barca, Real to Elliott

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Why a Coutinho return could be 'ideal' for Liverpool (1:39)

Steve Nicol says Liverpool need quality attacking depth and bringing back Philippe Coutinho could be a sensible move if they can afford him. (1:39)

Liverpool have edged out Europe's elite in their bid to sign Fulham's record-breaking midfielder Harvey Elliott, sources have told ESPN FC.

Paris Saint Germain, Real Madrid, Barcelona, Borussia Dortmund and RB Leipzig all had designs on securing the services of the 16-year-old, who became the youngest-ever Premier League player in May.

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Manchester City and Chelsea were among the English clubs to scout the teenage sensation, who opted against remaining at Craven Cottage with sources close to the player having said he has decided his future is best served developing with the European champions.

Elliott will not turn professional until his 17th birthday, which is in April, and the maximum length of contract he can sign with Liverpool will be three years.

His schoolboy association with Fulham ended in June and the Cottagers can expect a weighty compensation fee from Liverpool for the England youth international. Elliott became Fulham's youngest player when he made his debut at Millwall in the Carabao Cup last September at 15 years and 174 days old.

He then broke the Premier League record in May 2019 against Wolves, aged 16 years and 30 days -- the first player born in 2003 to feature in the division.

Fulham captain Tom Cairney said at the time: "He doesn't look out of place and does some bits of magic that everyone says 'wow.'

"His attitude and his belief in himself at such a young age is frightening. He's a tricky winger who plays in the hole. He's got a great football brain, an eye for goal and is a very entertaining player."

Elliott represents an extension of Liverpool's commitment to recruiting hugely talented youngsters domestically and from the continent as seen with their signing of Sepp van den Berg.

The Reds will focus on a policy of retention rather than reconstruction this summer, while snapping up young talents for the future.