The England international won't get the opportunity to start against his former club, with Sterling reduced to a role on the bench at Anfield.
Kevin De Bruyne is expected to start on the right flank, with Ilkay Gundogan in a central attacking midfield role.
Gabriel Jesus gets the nod up top, with Sergio Aguero not available because of a knee injury.
Liverpool manager Jurgen Klopp, meanwhile, has made two changes from the side that earned a 2-1 win over Crystal Palace this past weekend.
Dejan Lovren steps in for the injured Joel Matip in central defence, and Alex Oxlade-Chamberlain gets the start over Georginio Wijnaldum in midfield.
Liverpool XI: Karius; Alexander-Arnold, Lovren, Van Dijk, Robertson; Milner, Henderson, Oxlade-Chamberlain; Mane, Firmino, Salah
Substitutes: Mignolet, Clyne, Wijnaldum, Moreno, Ings, Solanke, Masterson
Man City XI: Ederson; Walker, Kompany, Otamendi, Laporte; Fernandinho, Silva; De Bruyne, Gundogan, Sane; Jesus
Substitutes: Bravo, Danilo, Stones, Sterling, Delph, Bernardo, Zinchenko