Trent Alexander-Arnold will leave Liverpool on a free transfer at the end of his contract this summer, with sources telling ESPN that the defender rejected a pay deal at Anfield that would have made him one of the best-paid full-backs in world football.

The England international, who is expected to join Real Madrid on a free transfer this summer, announced his decision in a statement on Monday. Sources told ESPN in March that Madrid are “very optimistic” about signing Alexander-Arnold although an agreement with the England international has not been finalised.

“I think first and foremost, I want to say it’s not an easy decision and there’s a lot of thought and feeling that has gone into it,” Alexander-Arnold said. “I’ve been here 20 years now, loved every single minute of it, achieved all my dreams, achieved everything I’ve ever wanted to here.

“Giving everything day in, day out for 20 years, I’ve got to a point now where I feel like I need a new change, a new challenge for me as a player and as a person. And I think now is the right time for me to do that.”

Alexander-Arnold joined Liverpool at the age of six, with his contract set to expire at the end of the season.

The 26-year-old right-back, who was made vice-captain in the summer of 2023, has made 349 appearances for Liverpool, winning seven major trophies during his time at Anfield. He will join up with close friend and England teammate Jude Bellingham in Madrid.

Sources have told ESPN that contract talks with Alexander-Arnold started last season during Jürgen Klopp’s final season as manager at Anfield and continued following Arne Slot’s appointment as coach last summer.

Sources have said that negotiations between Alexander-Arnold and Liverpool, led by sporting director Richard Hughes, were cordial and constructive, with the player offered a significant pay rise, but Liverpool accepted earlier this spring that Alexander-Arnold would not commit to a new contract and the player informed Slot of his decision to leave last month.

“There’s a lot I would like to say,” Alexander-Arnold said. “The main thing is a massive thank you [the supporters]. You guys have been there from the start with me, you guys have supported me, been there.

“I’ve felt the support, the love, everything that you guys have done has never been unnoticed by me, I’ve loved every single minute of it. I hope they have felt that has been reciprocated and that I’ve given everything I could to the club.

“I’m just hoping that we’re able to carry on winning games, the noise [around my decision] doesn’t take away from the fact of what we’ve achieved this season. “It has been an amazing season. It has been amazing to be part of it and I just hope that everyone is able to maybe not dwell on this news for too long and be able to celebrate what the rest of the lads have done.”