According to media reports, Chelsea are now working on a deal which could see them fork out a club-record fee for one of the world’s biggest talents.
The Blues have reportedly emerged as the most likely destination for the 19-year-old winger after indicating they will match Dortmund’s big-money valuation.
Chelsea have confirmed to the Bundesliga giants that they are willing to find £100m-plus to sign him.
For the past year, United have tried to acquire the services of Sancho but Chelsea appear to have moved ahead of them in the race to sign him.
Meanwhile, Liverpool – who won their first-ever FIFA Club World Cup title on Saturday – have been put off by Dortmund’s hefty price tag.
After getting their transfer ban lifted, Chelsea manager Frank Lampard is now desperate to replace Eden Hazard following his move to Real Madrid in the summer.
However, Lucien Favre’s side are intent on keeping their star youngster until the end of the season, especially with the Bundesliga title on the line. Dortmund are currently fourth in the standings, seven points behind leaders Leipzig.
But Chelsea could potentially clinch Sancho’s signature in the January transfer window, before loaning him back to Dortmund for the rest of the season.