Phillips left Leeds to join Manchester City last summer but played a minuscule part in their treble-winning season.
He featured just 12 times in the Premier League last term and only two of them were from the starting eleven.
The midfielder is yet to get on the pitch for Pep Guardiola’s side this season despite being in each matchday squad of the Premier League, the Community Shield and the UEFA Super Cup.
And it has been claimed that Manchester City are ready to accept loan offers for him before the end of the window.
He has been on the fringes of the Manchester City squad since joining the club and the club believe he needs to move out on loan.
The club are hopeful that a loan move away from the Etihad will help Phillips to reinvent himself and get his mojo back.
Liverpool have their eyes on him but it is unclear whether they will try to sign the player before the window closes on 1st September.
