Raheem Sterling and Brendan Rodgers
Raheem Sterling agrees new Liverpool contractGetty Images/Clive Brunskill

Liverpool have received a major boost as they have finally managed to convince star midfielder Raheem Sterling to sign a new contract amid interest from Real Madrid, Barcelona and Chelsea.

According to Goal, the Reds have reached an agreement with the midfielder. Even though Sterling has three years to run on his current deal, Liverpool want to keep him beyond the clutches of bigger European clubs, hence offering him a new contract with improved terms.

"The deal is done as far as Liverpool are concerned," a source close to the contract negotiations told Goal.

"The general agreement is in place and - barring any unforeseen issues – this new deal should be announced sooner rather than later."

It is believed that Sterling will more than triple his current earnings, which are estimated to be around £30,000 a week, once he signs his improved contract.

The former Queens Park Rangers youth player, who joined Liverpool in 2010, came up through the youth ranks at Anfield and has now established himself as one of the key players for the club. Following a string of impressive performances, he swiftly became an England star and is now a permanent fixture in the Three Lions squad.

His recent form has caught the attention of the big clubs in Spain and England. Barcelona and Real Madrid are said to be keen on signing the young Englishman, and Premier League rivals Chelsea and Manchester City are also rumoured to be interested.

Brendan Rodgers had said he is confident Sterling will sign a new contract, and it is believed the Northern Irishman's presence at the club has played a major part in Sterling choosing to remain at Anfield.