Currently on-loan at Aston Villa, Sancho's contract with United expires at the end of this campaign.
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And it's now emerged United management will not make any attempt to try to secure Sancho to a new agreement.
United hold a 12-month option in Sancho's contract, but have decided against triggering the clause in order to sell him for a fee next summer.
Instead, Sancho will cut their losses on the €80m signing from Borussia Dortmund and allow him to depart for nothing next June.