According to source the wantaway winger will refuse to join the Reds’ tour party as he seeks to force a transfer to Manchester City.
City are now expected to launch a third bid – and the improved offer could get close to Sterling’s £50m asking price.
Sterling, aged 20, has held face-to-face talks with Liverpool boss Brendan Rodgers after returning to the club’s Melwood training bases.
But he told his manager that he still plans to leave Anfield – and that he will not be going on the tour.
The England international believes he is not in the right state of mind to represent the club.