Leeds midfielder Lee Bowyer is still locked in talks with Liverpool over his proposed transfer to Anfield.

Bowyer met Liverpool manager Gerard Houllier on Monday to discuss personal terms and underwent a medical.

Club spokesman Ian Cotton said: "The position at the moment is that talks with the player are still ongoing."

If all goes to plan Bowyer could make his Liverpool debut on Friday in the club's opening pre-season match against Le Havre.

The initial fee is believed to be �7m, rising to �9m depending on appearances and England caps.

Bowyer arrived at Liverpool's Melwood training ground in a silver Porsche to begin the last stages of his transfer.

Bowyer was cleared to join Liverpool after telling new Leeds United boss Terry Venables that he would not be signing a fresh contract on offer at Elland Road.

"We've given Lee permission to talk to Liverpool," Leeds chairman Peter Ridsdale confirmed.

"Terry Venables did have a chat with Lee, but his agent called to say nothing has changed.

"Liverpool have made an offer that's acceptable to us and the rest is now in Lee's hands.

"How quickly the deal goes through is now up to him and Liverpool to agree personal terms and go through the medical."

New Leeds boss Terry Venables said: "Lee's got mixed feelings, but he's decided to go and speak to Liverpool and see what occurs.

"I was aware of that before I arrived. I don't want to lose any good players, and Lee certainly comes into that category.

"But I have to face facts and I have to accept that and I do."

Liverpool may now be tempted to allow unsettled midfielder Nick Barmby, a known favourite of new Leeds boss Venables, to move the other way.

Meanwhile, Liverpool's Vladimir Smicer has confirmed he expects to sign a new three-year contract at Anfield - despite the possible arrival of more competition for his place in Bowyer.

He said: "I am happy at Liverpool and I want to stay here. The fact they have asked me to stay must mean I am part of the plans.

"Bowyer would be a good signing for the club because he is a good player. I don't know if that means I wouldn't play. We'll have to wait and see what happens with that."