Liverpool may have agreed in principal to sign Danny Ings from Burnley, but Brendan Rodgers' side could yet have to pay a record fee for the England Under-21 international.

Ings is out of contract at Turf Moor, but aged 22 is not eligible to leave the club on a free transfer. Though a deal has been agreed which will see him join the Reds, the two teams have been unable to settle on a fee for the player, meaning a tribunal will now rule on the transfer.

The Professional Football Compensation Committee will hear cases from officials from Liverpool and Burnley before ordering the Premier League side to pay out for the ex-AFC Bournemouth forward.

Premier League and Football League officials, as well as representatives from the Professional Footballers' Association and the League Managers Association will sit on the committee and assess eight different areas of criteria before coming to a decision.

The independent body will take into account the costs incurred by Burnley in the development of Ings during his four-year career with the Lancashire club.

Costs for living accommodation, training and playing facilities and medical and first aid facilities will all be considered, as will the future potential of the player. Liverpool will attempt to argue their case but the club face shelling out a hefty fee.

The record pay-out from a tribunal currently stands at £6.5m when Daniel Sturridge joined Chelsea from Manchester City in 2010, but Burnley are expected to demand closer to £8m, which would represent a highest ever compensation fee ordered by the PFCC.

Ings, who scored 11 Premier League goals last season, is part of the England squad at the Under-21 European Championships and will join a host of strikers at Liverpool including Sturridge, Mario Balotelli, Fabio Borini, Rickie Lambert and Divock Origi.

The agreement is Liverpool's second signing in as many weeks this summer after James Milner joined on a free transfer from Manchester City.