Newcastle are in advanced talks with Chelsea to sign defender Lewis Hall on loan with an obligation to buy.
Newcastle will have to pay Chelsea £28million next summer for the teenager – with performance-related additions to follow.
The deferred payment allows Newcastle to comply with FFP restrictions this summer. Eddie Howe said last week that they will have to get creative to sign another player.
Sky Sports News understands the deal is “getting closer” but there’s still work to be done on fees, payment structure, and add-ons.
The 18-year-old has recently agreed in principle to a new long-term contract with the Blues. Hall, who played for the England Under-21s, made his Premier League debut for Chelsea last season and made nine appearances for the top flight.
Howe: We are hoping for one more signing
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Following Newcastle’s 5-1 win over Aston Villa last Saturday, Eddie Howe told Sky Sports he is targeting another signing before the end of the transfer window.
He said: “We hope there will be one more [signing]no guarantees, but we will fight until the end to strengthen ourselves.
“We’re getting there. Every transfer window we’ve gotten stronger.”
Did Newcastle leave Tierney? | Arteta: He is part of our plans

Kieran Tierney has sparked interest from Newcastle
Earlier this week, Sky Sports News reported that Newcastle have retained an interest in Arsenal full-back Kieran Tierney.
The 26-year-old was left out of the matchday squad for the season opener against Nottingham Forest at the weekend.
Things got complicated with new Gunners signing Jurrien Timber facing a long spell on the sidelines after sustaining an anterior cruciate ligament injury in the 2-1 win over Forest.
However, Arsenal boss Mikel Arteta hinted in his press conference ahead of his side’s Monday Night Football clash against Crystal Palace that the Scotland international is still part of his plans for the future.
“He played the [Community Shield] final, right? A player who plays five days before the final is part of the plans, for sure.
“I hope so [he is disappointed to be left out of league squad].”
How Chelsea are using AI to recruit at their youth academy
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Ziyech closes in on Galatasaray

Hakim Ziyech undergoes a medical examination at Galatasaray
Meanwhile, Chelsea striker Hakim Ziyech has had the first part of his medical at Galatasaray ahead of a possible move from Stamford Bridge.
Galatasaray is awaiting the results before proceeding with the second part of the medical examination on Thursday.
If all goes well, Ziyech will officially sign a contract with the Turkish champions.
Inter target Chalobah absent for a few weeks

Trevoh Chalobah has a hamstring problem
Trevoh Chalobah is expected to be out for a few more weeks with a hamstring issue.
The Chelsea centre-back hobbled in the pre-season game against Fulham in the United States and his injury has now been fully assessed.
Chalobah’s injury is not serious and he should be back fully fit before the end of the transfer window – opening up the possibility of a move towards the end of August.
Chalobah’s future has been uncertain this summer, with huge competition for places in Mauricio Pochettino’s plans.
The club has two left-handed centre-backs, Benoit Badiashile and Levi Colwill.
Chalobah has interest from other clubs and Chelsea may be willing to listen to offers in the final weeks of the window.
Sky in Italy say he’s on the list to InterMilan along with a number of other Premier League centre-backs.
Follow the summer transfer window with Sky Sports
The transfer window opened on June 14, but who will be on the move this summer before the September 1 deadline at 11 p.m. in England and midnight in Scotland?
Keep up to date with all the latest transfer news and rumors in our dedicated Transfer Center blog on Sky Sports’ digital platforms. You can also catch up on the ins, outs and analysis on Sky Sports News.