Liverpool are hoping to negotiate a deal with Internazionale for the transfer of attacking midfielder Phillippe Coutinho after their first bid was rejected earlier this week.

The Guardian has reported that Liverpool are prepared to up their offer despite the Brazilian admitting that he was happy to remain at the club and fight for his place in the first team.

Philippe Coutinho
Inter have already rejected one bid from Liverpool for Philippe Coutinho [Reuters]

"The Liverpool offer? I'm happy with these offers, because it means I am doing my job well," said Coutinho. "But I think Inter have faith in me and I want to show my value here. I don't feel that I'm on my way out. I hope to stay at Inter. The young players feel the faith of the coach and of the club."

It is also believed that Liverpool managing director Ian Ayre has flown to Italy in order to try and push through a deal  after suggestions that Southampton's new manager Mauricio Pochettino was also interested in signing the midfielder.

Coutinho worked with Pochettino last season when the midfielder was sent on a six month loan to the Catalan club and duly impressed by scoring fix goals in his 16 league appearances.

Liverpool were said to have made an offer of just under £7million and will now hope to negotiate with Inter officials as they attempt to get the best deal possible for the 20-year-old.

The club have a very clear policy of signing young players and Coutinho certainly meets their demands. He has already proven his ability by playing in the Champions League, while his young age means he will not demand the high wages of more established players.

There is also the chance that his stock will rise and that Liverpool would be able to make a profit on the player years down the line.

First they must attempt to persuade Inter to part with the Brazil international which may be helped by the news that they have had a bid for Montpellier's attacking midfielder Younes Belhanda accepted by the French club.