Newcastle United look increasingly unlikely to complete a deal to sign midfielder Kalvin Phillips due to Manchester City’s demands, according to reports.
Newcastle are in desperate need of January signings after several injuries have left Eddie Howe with a threadbare squad for large parts of the season.
The Magpies have been consistently linked with a loan move for Phillips after Pep Guardiola admitted the England international was not in his plans.
The 28-year-old has started just one game since October and looks destined to depart in January.
However, according to The Telegraph, the Magpies may soon drop out of the race for Phillips’s signature due to City’s demands.
The reigning Premier League champions are said to be requiring a loan fee to sanction the move and are also in favour of inserting an obligation-to-buy clause in the deal.
Both parts of the deal are seen as unfavourable for Newcastle who are already hamstrung by financial restrictions.
Although the deal is not dead, Newcastle could well miss out on the midfielder, with Juventus, Crystal Palace, Everton and West Ham all reportedly interested in the Englishman’s services.
Speaking prior to Newcastle’s game against Manchester City, Howe suggested that his side are struggling to recruit as few teams seem willing to negotiate with them.
‘Given the freedom to act, we would have brought players in already but we’re not in that situation,’ the 46-year-old said. ‘The owners are very ambitious and would like to improve the squad at every opportunity but the rules & conditions we’re working under don’t allow that.
‘Sometimes you have to make short-term signings, take your long-term vision away and do something to help us for the here and now. I’d be quite happy to do that. We’re probably in a short-term moment now where the squad needs help for the next few weeks.
‘I think there is value in the loan market, but I’m not sure there is for us. We’re in that moment where I don’t think we have many friends in the market. I’m not sure anyone wants to help us out.’