According to the Liverpool Echo, Liverpool are resigned to losing their academy graduate Ethan Ennis this summer.
Manchester United and Chelsea are both interested in signing the 16 year old midfielder but the report claims the Red Devils are winning the race for the teenager.
The 16-year-old broke into the U18s setup at Kirkby last season and scored three goals across their run to the FA Youth Cup final.
However, he has rejected the offer of a scholarship at Liverpool this summer and looks set to instead join Manchester United.
Liverpool will now turn their focus toward negotiating a development fee for the player, with a tribunal a possibility if an agreement cannot be reached.