Frank Lampard has entered talks to extend his Derby County contract, according to Sky Sports, in what is a new twist in one of the sagas of the summer so far.

The report claims Chelsea are still expected to make a formal approach for their former midfielder, but Derby are willing to offer a long-term deal to Lampard – something that was always planned after a positive first season as manager.

Lampard still has two years left on his current contract at Pride Park and the Rams are planning on building a structure around him for the future, but an approach to become the boss of the club where he made his name won’t be easy to decline.

Maurizio Sarri looks set to leave Chelsea for Juventus with everything agreed, but the Blues are reluctant to confirm anything until they sort out a replacement.

Derby will demand £4million in compensation if Chelsea want to lure Lampard away, which shouldn’t be a problem if he is the chosen successor.

Chelsea's alternative managerial options