Manchester United's Donald Love and Manchester City's Jack Byrne in action
Byrne spent last season on loan in the Dutch Eredivisie with Cambuur and the midfielder impressed during his stint in Holland with four goals in 27 games.
The 20-year-old is highly-regarded by club and country and trained with the senior Republic of Ireland squad this summer prior to Euro 2016.
Picture Supplied by Action Images
City are keen to send Byrne out on loan to an English club in the next stage of his development and a number of clubs have expressed an interest in taking the Irishman on loan.
However, Blackburn are at the front of the queue for Byrne with new Rovers boss Owen Coyle keen to bring the midfielder to Ewood Park.
New Blackburn Rovers Manager Owen Coyle poses after the press conference
Coyle has enjoyed success in the past at former club Bolton taking Jack Wilshere and Daniel Sturridge on loan earlier in the careers and City believe Blackburn will be the right next step for Byrne.
Coyle has been busy in the transfer market bringing in Danny Graham and Anthony Stokes on free transfers and West Ham defender Stephen Hendrie on loan and it seems Byrne is next in line to make the move to Ewood Park.