Chelsea Balk At Sterling Fee  (Sky Sports)

Chelsea are interested in signing Raheem Sterling but are not prepared to meet Liverpool's £50m valuation for the player, Sky sources understand.

The Premier League champions will continue to monitor the situation though, with the England winger refusing to sign a contract extension at Anfield.

That has alerted a number of clubs to Sterling’s possible availability over the summer, with Manchester City already understood to have had a £25m-plus bid rejected.

Real Madrid, Arsenal and Manchester United have also been linked with the 20-year-old, who has two years left to run on his current deal, although Sky sources understand no bids have come in for Sterling from any other clubs.

Sterling has scored 23 goals in 129 appearances for the Reds after joining from QPR for £600,000 in May 2010.

But he was booed by some sections of the England supporters at the recent friendly with Republic of Ireland in Dublin as questions remain over his future on Merseyside.