Tony Barrett   Published  1 minute ago   Manchester  City  are  set to make  an improved offer for  Raheem Sterling  after having  an opening  bid rejected but  view  Liverpool’s £50 million valuation of the  forward as excessive. However, they  are  hopeful of  reaching  a  compromise  that would allow the  transfer to take place. Rather  than be  put off from pursuing  their  interest in Sterling  after their offer of  £25 million with an additional £5 million in performance-related incentives was turned  down, City’s confidence  that a  deal can be  struck for  the  player  has grown as  a  result  of  Liverpool establishing  an  asking  price  of £50 million. Previously,  Liverpool’s stance  had been that Sterling  would not be sold this summer regardless of the outcome  of his present stand-off  with the  club. Now that position has been subject to subtle but significant adjustment and City  know that, like pretty  much every  player in modern football, Sterling  is available  at the  right price.   Despite  the emergence  yesterday  of suggestions that  Liverpool’s valuation  is excessive  and not in keeping  with the  £100,000-a-week contract  proposal they  made  to the  20-year-old in February, sources at Anfield insist that was not  their  final offer and that it  was only  because talks were  halted by  Sterling’s camp that a further  improved deal has not been put forward. There  is also a strong  feeling  at  Liverpool that even in a domestic  transfer  market in which home-grown talent is  bought at a  premium, Sterling’s status as  arguably  English football’s best  young  player  —  he  recently  received the  European Golden  Boy  award  —  makes him a special case, particularly  given City’s need to  recruit  English players to meet Uefa requirements. It now seems increasingly  unlikely  that he  will  remain at  Liverpool, who appear  to have  come to the  conclusion that attracting  what would be  a  world-record fee  for an under-21 player may be  preferable  to retaining him  against  his wishes. Liverpool’s initial hardline  approach, in which they  publicly  and privately  ruled out selling Sterling, has softened in  recent weeks  as the player became  unpopular  with  a  significant section of  his club’s fans  at a time  when his  form for  club and country  has plummeted. Having  waited for that moment, City  made  their  move and will  now seek  to capitalise  on the breakdown in relations  between Sterling  and  Liverpool by  making  a  renewed offer expected to be in excess of £30 million, although the strong likelihood is  that such a  bid would also be turned down. City’s interest in Sterling has grown over the  past  two seasons with club scouts regularly attending  Liverpool matches. Chelsea, Manchester  United and Arsenal have  monitored Sterling’s development but  City  have  long  since  been favourites to win the  race. For  Liverpool, the  prospect of losing  Sterling  within 12 months of  Luís Suárez  being  sold to Barcelona increases the pressure  on them. James  Milner, Danny  Ings and  Adam Bogdan will all  join them on  July  1 but there  is an acceptance  within the hierarchy  that much greater investment is required.