Chelsea will need to pay Manchester United a £5 million compensation fee if they opt not to sign Jadon Sancho on a permanent deal this summer.
The 24-year-old winger joined Chelsea on a season-long loan in August, with a purchase obligation of £20m-£25m, provided the club finishes at least 14th in the Premier League. With Chelsea currently sitting fourth and just nine games remaining, that condition is all but confirmed.
However, sources have now verified a release clause in the deal, first reported by The Athletic, which allows Chelsea to send Sancho back to Old Trafford—if they pay United £5m in compensation.
Although Chelsea have not indicated they plan to trigger this clause, doubts remain over whether Sancho will stay at Stamford Bridge beyond the summer.
His performances have been inconsistent since joining, registering just one assist in 18 appearances after scoring his second goal of the season against Tottenham on December 8. With Chelsea actively pursuing a new winger and striker, Sancho's future at the club remains in question.
The Blues have already secured a £42m deal for 17-year-old Sporting CP winger Geovany Quenda, set to join in 2026, signaling their long-term plans in the attacking department.
Sancho’s return to England has been turbulent. After a falling out with former Manchester United boss Erik ten Hag, he was loaned to Borussia Dortmund last season before making the switch to Chelsea.
United co-owner Sir Jim Ratcliffe recently confirmed that the Red Devils are still paying half of Sancho’s wages and that the club will need to account for him in their summer transfer plans.
"For Sancho, who now plays for Chelsea, we are paying £17m to buy him in the summer," Ratcliffe revealed in an interview with BBC Sport.
Sancho's current contract at Manchester United runs until 2026, with the club holding an option to extend by another year. If Chelsea decide against a permanent transfer, United will face the challenge of offloading him elsewhere or reintegrating him into the squad.
With Chelsea eyeing attacking reinforcements and Sancho struggling to make an impact, a permanent move remains uncertain. The £5m clause gives the Blues an escape route, but whether they take it will likely depend on his performances in the final stretch of the season.
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