Paul Merson has told Liverpool to rebuff Real Madrid's approach to sign Trent Alexander-Arnold in January so that the academy product can enjoy the rest of the season with them.

However, Merson says the player will surely head to the Bernabeu for free in the summer. Alexander-Arnold, 26, is out of contract in the summer, and negotiations over an extension at Anfield haven't progressed.

Real has been tracking the right back for some time and appears to be leading the race for his signature following this season's conclusion, where Alexander-Arnold will be the hottest free agent on the market. One of Alexander-Arnold's best friends in the England setup, Jude Bellingham, is already one of Real's top stars, and it could be a swaying factor in the player seeking out a new challenge.

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Alexander-Arnold has already won the Premier League, Champions League, Super Cup, Club World Cup, and both English domestic cups with his boyhood club. He looks sure to add to his trophy cabinet this year, with Liverpool leading the Premier League and Champions League group stage and being in the EFL Cup semis and the FA Cup.

Reports suggest that Liverpool would only spend around $25 million for the player in January, which Merson says is chump change in modern Premier League money and that it is not worth throwing away a fairytale journey together in the remainder of this season. "Oh, I absolutely got to keep him. For 20 million, I think I read about 20 million pounds. Twenty million pounds in football terms is a cup of tea," Merson said on Sky Sports.

"That's hardly anything in Premier League football. So for me, you've got to keep him. He's a special player. Let's make the most of watching him over the next four or five months because this lad is a talent. I say he's the best passer of a ball in the whole of the Premier League. I think his range of passing is second to none.

"And I think we have to enjoy him. And I think surely he won't want to go to Real Madrid at this time. Liverpool got an unbelievable opportunity of winning the Premier League. The last time they won that, it was in lockdown. And it wasn't the same.

"The Kop wasn't forward. Anfield wasn't forward. For them to have to pick the trophy up with no one there was a shame, really. And at the moment, unless you're an Arsenal or a Man United fan, who wouldn't want Liverpool to win the league if you didn't support one of them teams? Because it's been a long, long time, especially when it was in lockdown last time."

Merson added: "Oh, he'll be at Real Madrid. Oh, 100%. Yeah, I can't see anything but Real Madrid. I think when you get your contract down to this now, which is six months, the amount of money he'd have lost over the last year and a half, where if he'd have signed a new contract, it'd have been on a lot more money.

"I think he's got to the stage now where the 100% he'll go. Real Madrid, as I say, very rarely don't get who they want. And very, very, very rarely people turn Real Madrid down. So I don't see that not happening. I'd be shocked if it happened in January. I'd be majorly shocked because where Liverpool are at the moment, if they won the Premier League and the Champions League or one or the other, they're getting that £20 million anyway."