Former Liverpool defender Markus Babbel feels Mohamed Salah should sign a new deal and stay.

Salah only has 14 months left on his current contract and will be able to speak to foreign clubs to discuss a pre-contract agreement on January 1, 2023, with preliminary talks understood to have already begun. It leaves Liverpool with a dilemma over whether to give their prized asset a bumper new deal or cash in this summer while they still can.

"It's difficult to say from the outside. I know he's a brilliant player for Liverpool," Babbel said, speaking to Daily Star Sport on behalf of bet365. “For me it's a question of what he wants to do. Is he still happy at Liverpool or does he want to see something different?

“Not many clubs can afford him, Liverpool have said this is what you want, and this is what we can pay so now I hope they can agree terms. Mo Salah is the perfect player for Liverpool Football Club and I'm not sure he would perform like he does for a Barcelona, Real Madrid or another team out there."

Babbel, who played for Liverpool between 2000 and 2004, believes Salah could be tempted by a fresh challenge elsewhere after five years in England. But the German, 49, is hopeful he will commit his future to Liverpool for what could be the last long-term contract of his career.

“The club is perfectly placed for Mo and allows him to be the outstanding player he is. I really hope he does sign a new contract; it'll be very sad if he leaves," he added. "I hope he's smart enough to see that the club is perfect for my style of football, the people here love me, the city loves me, the club loves me. Would more money make him happier? I don't think so.

"The only reason he could have, is if he wants to live in a new country and experience a new league. He's been in Switzerland, Italy, England he may want to live a different lifestyle, culture and language — I could accept that, but not if just about the money."