Huge Mohamed Salah update delivered as Liverpool make fresh decision on Egypt star's contract as Trent Alexander-Arnold closes in on Real Madrid transfer

Salah is free to leave Anfield when his contract expires at the end of the season and the Egypt star has sounded pessimistic regarding the likelihood of him signing an extension.

However, Egyptian news outlet Masrawy reports that the Merseyside team have entered "serious" discussions with 32-year-old's agent, Rami Abbas, and have improved on their previous offer to him. Trent Alexander-Arnold's seemingly imminent free transfer to Real Madrid may have been a factor in the development, the report adds, as getting the right-back's salary off of their books will allow the club to match Salah's demands.

A source told Masrawy: "Liverpool's management has opened negotiations with Rami Abbas, Mohamed Salah's agent, to renew the Egyptian star's contract with Liverpool for the time being. Negotiations between Liverpool and Rami Abbas, Salah's agent, are much more advanced this time than ever before, and the offer presented is higher than any offer made to the player before. Alexander-Arnold’s imminent departure from Liverpool will be a major factor in Salah’s contract renewal, following the reduction of the club’s high salaries, allowing the Egyptian star to be given what he desires in his new contract with the Reds."

Salah has been in excellent form for Liverpool this season, scoring 32 goals in all competitions. He has netted 27 and made 17 assists in just 29 appearances in the Premier League for the runaway leaders.

Liverpool will be hoping an agreement with Salah is reached soon, but the Reds face losing another star in the summer with Virgil van Dijk's contract also set to expire.