The England international’s current deal expires in the summer and Liverpool have long been linked with the 28-year-old.
The Daily Mail write that Liverpool are understood to be among the clubs ready to sign him on a free transfer if he decides to leave the Etihad after five years.
Milner is quoted discussing the contract talks with City, which have reportedly reached a stalemate.
“I hope it will be sorted,” he said. “We’re still in talks. I’m waiting for the club to come back and hopefully they will soon.”
The versatile midfielder would certainly be a welcome addition at Anfield, offering excellent experience and options for any Premier League side.