Manchester City are ready to challenge Manchester United for Barcelona attacker Ousmane Dembele.

Catalonia's El Nacional says Barca have not given up hope of agreeing a new deal with Dembele, with his deal to expire next summer.

But United's interest in him could end up disrupting their bid to tie him to a new contract.

United have already made contact with Dembele's representatives to enquire about his future.

The report adds that Manchester City are also interested in Dembele and would be open to negotiating a swap deal with Barca which would see Raheem Sterling head to the Nou Camp.