The 21-year-old attacking midfielder is a highly-rated talent and is one of the brightest prospects to come out of the Manchester City academy.
He even made three appearances for the Premier League champions this season but the club decided to cash in on him towards the end of the window.
He has sealed a £45m move to Chelsea, who have completed the formalities of the transfer ahead of deadline day.
The move has been signed and sealed and it has been claimed the player has already signed a contract.
Chelsea have given the new signing a seven-year contract with an option of another year.
Palmer’s transfer is set to be confirmed this morning and his arrival is set to end Chelsea’s incoming business for this summer.
The attacking midfielder is an England youth international with 13 caps for their Under-21 side.
Chelsea are confident that they have managed to sign a top-class young talent from a Premier League rival.
