Liverpool are reportedly preparing to offer Philippe Coutinho a new contract at Anfield to fend off interest from a number of clubs.

The Brazil international, who has been voted the Reds' Player of the Year for two seasons running, has started his latest campaign on Merseyside in fine form.

Barcelona have been heavily linked with Coutinho in recent weeks, while Paris Saint-Germain are understood to have already had one big-money bid knocked back for the midfielder, but Liverpool are confident of keeping their star asset in place.

According to The Mirror, the 24-year-old will be rewarded for his form by being handed an improved deal to keep him in place beyond 2020 when his current terms are due to expire.

Coutinho recently admitted that he is feeling settled at Liverpool and has no desire to leave, with Reds chiefs said to be confident of wrapping up negotiations in a swift manner.