Former Chelsea midfielder Joe Cole has agreed sign for Liverpool on a free transfer, subject to a medical.
It has been reported that Cole, 28, was offered wages of £90,000-a-week to stave off interest from Arsenal and Tottenham Hotspur. Cole left Stamford Bridge at the end of last month after Chelsea decided not to offer him a new deal.
Cole will head to Liverpool for his medical in the next 48 hours when his move to Anfield will be rubberstamped. It may be seen as a statement of intent from new manager Roy Hodgson, who was expected to make few major signings this summer due to the club's financial constraints.
With Fernando Torres and Steven Gerrard thought to be considering their futures on Merseyside, supporters will hope the signing of Cole will indicate an ability to challenge for a place in the top four this season.
It essentially means that Cole and Yossi Benayoun are swapping clubs, with a payment of £5 million in Liverpool's favour.
Cole is the second summer arrival at Liverpool after Serbia forward Milan Jovanovic joined following the expiration of his contract with Standard Liege. Hodgson is still on the look-out for a new left-back with Fabio Aurelio having left and Emiliano Insua on the verge of completing his move to Fiorentina.
Liverpool's record goalscorer Ian Rush believes the signing has only enhanced Hodgson's reputation - even before a ball has been kicked.
''Liverpool might not have been successful as we would have liked to have been recently but this shows we can still attract top name players, whether that's an England international or a foreign international,'' he said.
''We've got a great new manager in Roy Hodgson and he knows what he wants and he can talk these players into signing for our club. This is the signing supporters wanted and it's a big boost for them.
''You look at last season when we went into it not hoping but thinking we were going to win the league. This season people are thinking, 'Are we going to finish in the top four? I think this sends a sign out to Liverpool supporters that the club do mean business.''
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