The Ilkay Gundogan transfer saga has taken another step forward, with reports saying the Barcelona player 'can leave the club on a free' transfer.

This coincides with reports that Manchester City manager, Pep Guardiola, has green-lighted the return for his former club captain. 

Journalist Fabrizio Romano broke the news on X, with a post saying: 'Understand Barcelona have 100% decided to let Ilkay Gündogan leave for free.

'Manchester City are working on details of the deal with Gündogan's agent now in UK to get the comeback done. 

'As revealed earlier, Pep Guardiola said YES.' 

Gundogan had no intention of leaving Barcelona this summer but now looks set for the exit

Fans have reacted to the update, with it seemingly throwing up more questions than it answers.

One fan has questioned an in-transition Barcelona's logic in letting the 33-year-old leave after just a year, saying: 'Barca letting go of Gundogan in their rebuilding phase is unbelievable, the club needs a player like him more than he needs the club; Barca has some promising young players but they're still inexperienced & don't have what it takes to rekindle the club's lost glory yet. This isn't a good decision.' 

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Another, queried the club's financial capability, given their pursuit of other marquee names: 'So basically they let him go for free because of their financial problems, can someone explain how they are going to pay €90-100M for Rafael Leao?' 

The news has excited City fans, meanwhile, with one pointing out Gundogan's influence on the Manchester club's team dynamics: '[He] should've never left City in the first place. They look more dangerous with him. 

'Gives us something Nunes and Kovacic haven't been able to produce as replacements.'

One fan simply expressed his delight at the prospect of the five-time championship winner returning to the Premier League: 'GUNDO IS BACK'.

Gundogan's exit is thought to be influenced by two factors. The first, is his position in Barcelona's squad under new manager Hansi Flick.

The German international and Flick reportedly held a meeting last Thursday, where the manager said he could not guarantee he'd be a regular starter.

Flick favours an approach where the midfield exert pressure higher up the pitch, and it's believed new signing Dani Olmo is central to this philosophy.

While Flick denies this is the case, he may be influenced by extenuating financial pressures the club face. 

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According to Mundo Deportivo, Gundogan earns around €20m-a-year (£17m-a-year) at Barcelona, and is categorised as a 'franchise player' due to his salary being over five per cent of the club's total wage bill.

The Spanish outfit have been battling with money issues for a number of seasons, and were fined £434,000 for breaching UEFA's financial rules last year.

Therefore, they find themselves in a 'desperate' situation where they need to raise funds just to register players, including Euro 2024 winner Dani Olmo, who signed for the club earlier this month.

Getting rid of Gundogan would reportedly free up €14m (£12m) in the club's fair play budget, and could allow Barcelona to reinvest 70 per cent of these savings into new signings.