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• Liverpool and Chelsea have yet to agree fee
• Israeli international expected to undergo medical, reports say

Yossi Benayoun has moved closer to a Liverpool exit after agreeing terms on a four-year contract with Chelsea, although the clubs have yet to finalise a fee for the Israel international.

Carlo Ancelotti, the Chelsea manager, has targeted the versatile 30-year-old as a replacement for Joe Cole who, along with Michael Ballack and Juliano Belletti, will be released from Stamford Bridge when his contract expires at the end of the month. Liverpool rejected a £4m inquiry from the Premier League champions for Benayoun last month and have not received another official offer since.

The midfielder, a £5m signing from West Ham United in 2007, has made no secret of his desire to return to London and has agreed in principle to join Chelsea on a four‑year deal. Reports in Israel, where Benayoun is on holiday, have claimed he will undergo a medical at Chelsea’s Cobham training ground this week.

Benayoun will be the first high-profile player to leave Anfield following Rafael Benítez’s exit should Liverpool agree a compromise figure with Chelsea. The Israel captain signed a four‑year contract at Liverpool last summer and scored nine goals in 42 appearances for the club last season. The midfielder, however, was often deployed as a substitute under Benítez and became frustrated with the former Liverpool manager as a result. Even with Benítez moving to Internazionale, Benayoun remains determined to leave for a club that can offer Champions League football and a better salary, and is expected to get his way in the coming days.

The Argentina captain, Javier Mascherano, is another established Liverpool player likely to leave the club this summer, while Steven Gerrard and Fernando Torres will make a decision on their futures after the World Cup. Mascherano could yet be reunited with Benítez at Internazionale.

Liverpool are assessing their options to replace Benítez and have not made an official approach to Fulham for Roy Hodgson, who is due to depart to South Africa to commentate at the World Cup. Hodgson emerged as the early favourite for the Liverpool job after the departure of Benítez almost two weeks ago but remains in the dark over the Anfield club’s intent. Reports at the weekend claimed the 62-year-old wanted confirmation of Liverpool’s interest before leaving for South Africa and would not be used as a fallback option should Anfield officials fail to secure an alternative target.

Kenny Dalglish remains interested in the job despite Liverpool’s preference for a manager with more recent experience of Europe and the Premier League. Hodgson does fulfil that criteria, and has support inside the Anfield boardroom, although Liverpool insist that, with players not due back for pre-season training until July, they are under no pressure to rush their search.

LiverpoolChelseaTransfer windowRafael BenítezAndy Hunterguardian.co.uk

• Tottenham favoured to secure services of Cole
• Liverpool reject opening £4m Benayoun bid

Chelsea have paved the way for Joe Cole’s departure from Stamford Bridge by formalising their interest in the Liverpool midfielder Yossi Benayoun, with the Israeli confident a transfer can be completed over the next week.

An opening bid of £4m is understood to have been knocked back by the Merseyside club, though they have offered Chelsea encouragement that an improved offer of about £6m will secure the 30-year-old. Carlo Ancelotti is keen to sign the Israel international after talks with Cole’s representative over a new deal reached an impasse, with the midfielder now expected to leave under freedom of contract next month.

Tottenham Hotspur, with a potential Champions League campaign ahead, remain favourites to secure Cole under the Bosman ruling, ending his seven-year stay in south-west London since a £6.6m move from West Ham United. The 28-year-old had hoped to gain an increase on his weekly wage to £100,000, but Chelsea are set upon restructuring financially and did not offer him improved terms.

Cole has not had a regular first‑team place at the Double winners under Ancelotti, and Benayoun will have to accept life as a squad player as well. His own fortunes at Liverpool dipped somewhat towards the end of last season to mirror those of the team, with his relationship with the manager, Rafael Benítez, steadily deteriorating to the point where Liverpool effectively sanctioned his departure in the closed season.

The move is surprising given that Benayoun, who had also attracted tentative interest from his former club West Ham United and Spurs, is two years older than Cole in a squad that is already considered to be ageing, though he does have pedigree in the Premier League.

The Israeli anticipates the completion of his move to Stamford Bridge over the next few days having indicated last week while on international duty that Chelsea were keen to sign him. “Ancelotti wants me for next season and now everything depends on Liverpool,” he said. “Chelsea will have to pay some £6m, but I believe that, in the end, I’ll be moving there.”

ChelseaTransfer windowLiverpoolDominic Fifieldguardian.co.uk

• Liverpool manager has yet to meet new chairman
• For me, the club has to answer a lot of questions, he said

Liverpool’s manager, Rafael Benítez, has called on officials at the club to “answer a lot of questions” about the future direction things will take.

The Spaniard has a meeting scheduled this week with the chairman, Martin Broughton, in which he expects to be given detailed information about what plans are being put in place for next season and beyond.

Broughton, also the chairman of British Airways, has been brought in by the co-owners Tom Hicks and George Gillett to oversee the sale of Liverpool but it has taken him nearly three weeks to schedule a meeting with Benítez.

That has not pleased the manager, who would like to stay at Anfield despite strong interest from Juventus.

Benítez, 14 months into a five-year contract, wants an enhanced transfer budget in order to bring in the five players he feels they need to get back into Champions League contention, never mind a title challenge.

“We have plenty of time in this season, I still have four years of my contract left and I still I have to talk to the new chairman,” said the Spaniard. “It [the meeting] is to talk about the future. Everyone is asking about my future but the future of the club is more important.

“Still I do not know what is going on in the club. I don’t know if we will have any investors so there are a lot of questions – not just, for me, one question. For me the club has to answer a lot of questions. It is very clear: we have to wait and see what is going on. The future is maybe tomorrow or maybe one week; at this moment it is something we don’t know.”

Benítez refused to clarify his future plans after Sunday’s 2-0 home defeat to Chelsea, which ended their hopes of Champions League football for next season. But he expressed his frustration at the campaign which appears to be going on around him concerning his future. He is unhappy about the way Juventus have publicly targeted him but also hinted there were may be factors at work within Liverpool to try to force his hand.

“If I have a conversation with him [Broughton] we will try to keep it private,” said Benítez in his now-familiar cryptic style. “At this point we have to concentrate on next Sunday’s game at Hull. There are too many rumours in the press and I know some people are just trying to create a mess.

“To be fair we were trying our best last week, signing [Charlton's two-footed midfielder] Jonjo Shelvey because still we have the same mentality – to improve the club and do the best for the club. I try to do my best every day.”

Benítez has received the backing of Yossi Benayoun, although the Israel international added to the uncertainty by stating he did not know whether he would be around for the start of next season. “When you are at a big club and things go bad, it is normal for the pressure to be put on the manager,” said Benayoun, who was linked with a move away in January. “Rafa has done a great job and we are trying not to look at what has happened in the past. Rafa has proven himself, he is a big manager. The people above will make the right decisions.”

Benayoun admitted the squad are disappointed with the way the season had turned out, with early exits from the Champions League and FA Cup compounded by a failure to finish fourth. But he stressed the off-field situation needs to be sorted sooner rather than later.

“We have tried to do our best but it hasn’t been good enough,” said the midfielder, 30 on Wednesday and who has yet to decide his future. “Liverpool are a great club and I enjoy it but a lot of things are happening in this moment and we will have to see it. A club like Liverpool must do everything they can to keep players like Steven Gerrard and Fernando Torres but a lot of things can change and in a few weeks we will know better.”

Rafael BenítezLiverpoolPremier Leagueguardian.co.uk