Highest transfer fee Real Madrid will pay for Trent Alexander-Arnold in January revealed

Real Madrid are only willing to pay £20million to sign Trent Alexander-Arnold in the January transfer window, according to reports.

Alexander-Arnold is out of contract at the end of the season and could leave Liverpool on a free transfer, with the defender now able to sign a pre-contract deal with non-English clubs this month.

Madrid have been heavily linked with a move for the England international and have made a formal approach to sign him in January. Liverpool have rejected that approach and Mirror Football understands that the club remains hopeful that Alexander-Arnold will sign a contract extension.

However, multiple reports from Spain have stated that Alexander-Arnold has already informed Madrid that he wants to complete a move to the Bernabéu. And a new report from Marca reveals that Madrid are willing to pay up to £20million to sign Alexander-Arnold six months early.

Madrid's right-back Dani Carvajal suffered a season-ending knee injury in October and Alexander-Arnold's early arrival would boost their chances in both LaLiga and the Champions League.

Carlo Ancelotti's side currently sit second in LaLiga, just one point behind Atletico Madrid, while they sit 20th in the revamped competition stage of the Champions League. However, the report does acknowledge that Alexander-Arnold is unlikely to leave Anfield this month.

It comes after Liverpool legend Jamie Carragher suggested Alexander-Arnold and his camp encouraged Madrid to take a formal approach in a bid to “cover themselves if he leaves for free”.

He also criticized the timing of the approach, with Liverpool set to face rivals Manchester United on Sunday. “The most important thing for Liverpool in 2025 is winning the Premier League,” Carragher wrote in a post on social media.

“Nobody's contract or future should get in the way of that! I love Trent as a boy and as a player, but his team would have told Real Madrid to bid and would also have known LFC would turn it down. It's trying and covering themselves if he leaves for free. Again, it's something the club/fans don't need with a big game coming up.”