Manchester City have reached an agreement with Nottingham Forest to sign midfielder Elliot Anderson in a deal that could shatter the British transfer record. The package, reported at £106 million with performance-related add-ons potentially pushing the total beyond £120 million, represents the kind of spending that makes even Premier League accountants do a double take.

Anderson, 23, has gone from a £35 million signing to a player valued at roughly three times that amount in the space of two years.

How the deal came together

City’s pursuit of Anderson was not a one-bid affair. An initial offer of £85 million was rejected by Forest, who clearly understood the leverage they held with a player under a long-term contract and multiple suitors circling. City came back with the £106 million verbal package, and that proved to be the number that moved the needle.

Manchester United had also expressed interest in Anderson, adding competitive tension to the negotiations. But City established themselves as frontrunners early and never relinquished that position. Transfer journalist Fabrizio Romano was among those tracking the deal’s rapid progression, which moved from opening conversations to an agreement in relatively short order.

A medical for Anderson is reportedly planned in the United States, with Kansas mentioned as a potential location. City are discussing a five-year contract with an option to extend, signaling that this is not just a squad-depth move but a cornerstone signing for the club’s medium-term plans.

The agreement was reached on June 25, 2026.

Anderson’s rapid rise

Anderson arrived at Nottingham Forest from Newcastle United in the summer of 2023 for £35 million. He accumulated 92 total appearances for Forest, becoming one of the most important players in their squad, with his performances during the 2025-26 season particularly notable.

Newcastle let Anderson go to Forest for £35 million and now watch him move to a direct rival for a fee that triples what they received.

What this means for investors and the market

For City, the structure of the deal, with a base fee of £106 million and add-ons tied to performance, suggests they have built in some financial protection. They pay the premium price only if Anderson delivers premium results. City are betting on Anderson being a central figure well into his late twenties via a five-year deal with an option to extend.

Both City and Manchester United were in the market for the same player, suggesting their squad-building strategies overlap in ways that could create bidding wars for future targets.

Forest held firm when the £85 million bid arrived and were rewarded with an additional £21 million at minimum for their patience.