Liverpool are set to cut short the loan spell of Nuri Sahin, with his former club Borussia Dortmund prepared to take the midfielder off their hands, according to the Daily Mail.

There have been increasing reports of late that Liverpool were looking for a way to terminate Sahin’s season-long loan from Real Madrid prematurely as an effort to cut their wage bill and allow reinforcements to be brought in this month. Daniel Sturridge has already arrived in a £12 million deal.

Sahin has only started seven Premier League matches since arriving in August following his failure to make an impression during his first season at Real Madrid. Now the Mail reports that Sahin could be poised to head back to the club where he established a reputation as one of the finest young midfielders in Europe. Sahin helped Borussia Dortmund to the Bundesliga title in 2010/11 and was voted the player of the season in Germany.

Liverpool fought off the interest of Arsenal to secure the 24-year-old in the summer. As well as Dortmund, Inter are also now thought to be monitoring Sahin’s situation.

Reports suggest that Liverpool now have another midfielder in their sights, with TalkSport listing the Reds as one of the clubs interested in PSV Eindhoven’s Kevin Strootman.

The Netherlands international has long been linked with Manchester United and Milan, while Arsenal have also been mentioned as suitors. While a move has been ruled out for January, Strootman could well be on the market in the summer.

According to TalkSport, Strootman, who has already captained his country, is valued at £18 million. Given the competition for his signature, it is likely that Liverpool will have to achieve a Champions League spot if they are to attract a player with a burgeoning reputation across the continent.