That’s according to transfer expert Gabriele Marcotti who expects the Reds to use the funds on signing Virgil van Dijk and Naby Keita.

But Liverpool must first agree a deal to sell Coutinho after just yesterday rejected a £118m bid from Barca.

The Reds have so far added Dominic Solanke, Mohamed Salah and Andy Robertson to their squad this summer.

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“They were willing to spend £60m on Naby Keita so presumably there's money budgeted there,” Marcotti said on The Times' The Game podcast.

“If Coutinho goes and I assume it will be a little north of £100m suddenly you have £160m to spend if you're smart and if you're prepared.

“And they should have been preparing for post-Coutinho from the minute it became obvious that Neymar was gonna go to PSG.

“If they are prepared they can come out stronger than they are because [Mohamed] Salah, [Sadio] Mane, [Roberto] Firmino and [Adam] Lallana when he's back from injury plus [Dominic] Solanke and [Daniel] Sturridge is a pretty potent attacking force.

“So if you can add a Keita or a Keita type to the midfield and upgrade the defence possibly with Van Dijk it's not so bad.”

Liverpool boss Jurgen Klopp has £160m to spend

Liverpool return to action later today when they welcome Crystal Palace to Anfield.

Klopp will be looking for his first Premier League win of the season after the 3-3 draw with Watford last weekend.