Torres is ready to join Reds

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Liverpool sources have insisted there is no conflict over wages with the 23-year-old Atletico Madrid star, as had been claimed, and he has verbally accepted around £90,000 a week - which will put him on a par with Jamie Carragher and Xabi Alonso but short of Steven Gerrard's £120,000-a-week new contract.

Liverpool are so confident that Torres will now complete his signing when he returns from holiday that they have let Luis Garcia join Atletico for around £4million.

The two deals are not officially linked but Liverpool will now see their agreed fee of £26.5m for Torres cut to £21.5m now Luis Garcia has returned to a club he spent a season with earlier in his career.

Luis Garcia's agent, Manuel Garcia Quillon said: "We are working on Luis Garcia's permanent transfer to Atletico de Madrid. If all goes well, the deal should be completed either Monday or Tuesday."

The departure of the little midfielder, one of boss Rafael Benitez's first signings when he arrived at Anfield, will disappoint the Anfield faithful.

They indulged his occasional wastefulness and appreciated his 30 goals in 121 games for the club which was a decent return for a midfielder.

Luis Garcia scored some crucial European goals, in particular the controversial Champions League semi-final winner against Chelsea in 2005.

He arrived at Anfield in the summer of 2004 from Barcelona, and was frequently used as a substitute to change matches by Benitez, but the 29-year-old suffered a serious knee injury in January which curtailed his season.

Luis Garcia's departure means there are only three Spaniards in the current Liverpool senior squad, which will be back to four when Torres joins.