Liverpool are angry with Newcastle United's stance in their bid for winger James Milner.
The Guardian says Liverpool believe they are being held to ransom by Newcastle's insistence on at least £7m for Milner.
The 22-year-old is one of several wingers under consideration by Benitez, who was rebuffed in an attempt to exchange the reserve players Danny Guthrie, Jack Hobbs and Emiliano Insua for Milner last month. Guthrie, who spent last season on loan at Bolton, may yet be a makeweight in a deal for the former Leeds United midfielder, whom Liverpool value at closer to £5m.