The Telegraph, as quoted by the Daily Mirror, is reporting that the Reds have agreed a deal to sign the 16-year-old from Championship side Fulham this summer.
The same article states that Elliott is very much in-demand amid interest from FC Barcelona, Real Madrid, Paris Saint-Germain and RB Leipzig.
According to the same story, the Fulham teenager has picked Liverpool FC has his preferred destination despite interest from other top clubs.
The report goes on to add that Liverpool FC have already agreed a compensation package with with the relegated Premier League club.
The story goes on to add that Elliott won’t be able to sign a contract with Liverpool FC until next April when he turns 17.
Elliott became the youngest-ever player to make his Premier League debut when he came off the bench against Wolves at the age of 15 years and 174 days.
Liverpool FC have only signed Dutch defender Sepp van den Berg in a £1.6m deal from FC Twolle in the summer transfer window so far.
The Reds won the Champions League last season thanks to a 2-0 victory over Tottenham Hotspur in Madrid last month.
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