Report: Aston Villa increase offer in attempt to beat Birmingham City to John Terry's signature

Birmingham City manager Harry Redknapp and Aston Villa manager Steve Bruce before the match

Aston Villa and Birmingham City are reportedly battling for John Terry's signature.

Chelsea v Sunderland - Premier LeagueJohn Terry's Chelsea farewell in May

According to The Mirror, John Terry is at the centre of a tug-of-war between local rivals Aston Villa and Birmingham City as they both bid to sign him.

Terry, 36, brought his glittering Chelsea career to an end last month, as after making more than 700 appearances for the Blues, he is moving on with his contract expiring.

Chelsea's John TerryFormer Chelsea captain John Terry

The former Blues captain won five Premier League titles, five FA Cups, three League Cups, the Champions League and the Europa League during his time at Stamford Bridge, but he must now consider his next move.

Despite his advancing years, Terry is attracting major interest this summer, with The Mirror now claiming that city rivals Aston Villa and Birmingham City are battling for his signature.

Birmingham City manager Harry Redknapp and Aston Villa manager Steve Bruce before the matchBirmingham City manager Harry Redknapp and Aston Villa manager Steve Bruce

It's understood that Blues boss Harry Redknapp – who kept Birmingham in the Championship with a win over Bristol City on the final day of the Championship season – is keen to boost his back line, and has identified Terry as the ideal signing.

Redknapp has never made any secret of his admiration for Terry, but his hopes of finally signing him in an ambitious swoop could be dented by local rivals Aston Villa.

Chelsea's John TerryJohn Terry

Villa are believed to have increased their offer to Terry as the two clubs offer and counter-offer to land the centre back, with Villa manager Steve Bruce also viewing the former England international as a key addition.

Both clubs have wealthy Chinese backers, meaning Terry could be the big winner here if the two clubs continue to increase their offers, with a drop into the Championship looking increasingly likely right now.

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