
Liverpool boss Rafael Benitez has been placed on red alert after Newcastle centre-half Steven Taylor turned down the offer of a new five-year contract at St James' Park.
Taylor, who is the most successful player to have emerged from Newcastle's Academy in the best part of a decade, was in Montenegro last night captaining England Under-21s.
That news has been greeted with interest at Anfield, where Benitez has long coveted arguably the most promising young centre-half in the English game.
And while the Liverpool manager opted not to make a formal offer for Taylor's services during the summer transfer window, sources on Merseyside suggest he will attempt to sign the North-Easterner if the current impasse is not resolved by January 1.
With Sami Hyypia approaching retirement, Benitez is understood to regard Taylor as an ideal back-up to his preferred defensive partnership of Jamie Carragher and Daniel Agger.
Taylor's current Magpies contract runs to 2009 but, after making 44 senior starts last season, the 21-year-old is looking to secure an improved deal.