Liverpool will not pursue a move for Borussia Dortmund midfielder Jude Bellingham this summer, with the club instead deciding to dedicate transfer funds toward overhauling Jurgen Klopp's squad, sources have confirmed to ESPN's Mark Ogden.

The Premier League club have been strongly linked with a move for the England star for several months but the cost of the move would prevent the club from strengthening elsewhere ahead of next season.

- Stream on ESPN+: LaLiga, Bundesliga, more (U.S.)

Klopp has made clear the need for his squad to be revitalised amid a struggling season that sees them languishing in eighth position in the Premier League.

With nine games of the season remaining, Liverpool are 12 points adrift of a top-four place. Missing out on the Champions League could further reduce the funds available this summer as well as their attractiveness to potential transfer targets.

The Liverpool boss has suggested that strengthening the midfield will be the priority, and several players could be needed with Alex Oxlade-Chamberlain, James Milner and Naby Keita all out of contract this summer.

Sources told ESPN last month that Manchester City were growing confident that they could land Bellingham's signature, though Spanish giants Real Madrid remain very much in the race.

Dortmund have also not given up hope of holding onto the 19-year-old for a further season.

Bellingham was recently placed No. 1 on ESPN's 39 best male players age 21 or under, having excelled for Dortmund since joining from Birmingham City in 2020. He increased his stature yet further with a series of impressive showings for England as they reached the quarterfinals of the 2022 World Cup.

And Klopp has made no secret of his admiration for Bellingham.

"So, yes, he is a really good player. What can I say? I have thought that already for two or three years since he had his breakthrough at Dortmund," Klopp said in December.

"Everybody knew already but I have no idea what that means for the money side of it."