Sheffield United are reportedly interested in taking Manchester City youngster James McAtee on loan for the campaign, with the player keen on a move to Bramall Lane.
The 20-year-old spent the 2022-23 season on loan with the Blades, helping the club gain promotion to the Premier League under the stewardship of Paul Heckingbottom.
McAtee featured in 37 matches for United as they finished second behind Burnley - starting 21 of those games - scoring nine goals and providing three assists.
The attacking midfielder has been a regular for the Premier League champions' youth teams over the past four years, while also earning call-ups for England at Under-21 level.
According to The Sun, McAtee is currently favouring a move back to Sheffield United this summer, with the Blades now plying their trade in the top flight.
It is understood that any switch away from the Etihad Stadium for the youngster would be temporary, with Man City not willing to cut ties with a player who impressed in the second tier last term.
The report claims that with Bernardo Silva's future at the treble-winning Citizens secured, the club are now prepared to allow McAtee to develop his game elsewhere for the season.
There was said to be serious interest in the Portuguese playmaker from Barcelona, Paris Saint-Germain and Al-Hilal in this summer's window, however Man City were not willing to let the 29-year-old leave for less than their £75m valuation.
Silva has put pen to paper on a fresh three-year deal at the Etihad, meaning that McAtee is free to move away from the club for the 2023-24 season.
Despite this, Heckingbottom's Blades could have difficulty in bringing the midfielder back to Bramall Lane, with Guardiola supposedly favouring a move to a top-half Premier League side for the 20-year-old.
Man City are reportedly concerned that Sheffield United's style of play would not help McAtee's development, with the top-flight newcomers set for a scrap to survive this campaign.
The Blades have lost all three of their opening league matches so far, although the performance against Man City on Sunday afternoon suggested that United will be competitive in the Premier League.
Heckingbottom has been forced to start Will Osula and Benie Traore as a forward pairing in losses against Crystal Palace, Nottingham Forest and the aforementioned Citizens, however the recent arrival of Cameron Archer should provide more attacking firepower.
The 21-year-old joins the Blades for a fee of £18m from Aston Villa, and the striker could make his debut for the club when they welcome struggling Everton to Yorkshire on Saturday afternoon.
