Manchester City are leading the race to sign Elliot Anderson, with the Nottingham Forest midfielder leaning towards a move to Etihad Stadium instead of rivals Manchester United.

There is a growing expectation Anderson will leave the City Ground this summer.

United are unwilling to overpay, or get drawn into protracted negotiations.

No deal has been struck between Forest and City and the clubs are far apart on their valuation for the 23-year-old, meaning the situation could still change.

The fee could become a record for a British player and eclipse the £105m Arsenal paid West Ham for Declan Rice in 2023.

There is a sense at Forest that if there is a big sale this summer it will be Anderson, and a fine World Cup with England would put them in a stronger bargaining position.

Following Sunday's 1-1 draw with Bournemouth, Forest manager Vitor Pereira said Anderson and Morgan Gibbs-White deserve "the top of the world".

He would prefer to keep both players but it is Anderson who is the more likely to leave currently, especially with no European football at the City Ground next season after they finished 16th in the Premier League.

"I believe if we want to compete for different goals, we need to keep the best players," said Pereira.

"If not, if you change every season, it is difficult to be consistent and difficult to build something stronger.

"We cannot control the market, of course, but I think we are aligned; what I think and what the club thinks is to try to keep most of them and to try to control the market."

Anderson, who won the 2025 European U21 Championship with England last summer, joined Forest from Newcastle in 2024 for £35m and has played 92 times, scoring six goals.

Sunday's game against Bournemouth was his 50th appearance of the season and he was given a standing ovation when withdrawn in the second half.