Watford are close to agreeing an £8million fee with Derby County for England under-21 international Will Hughes.

Marco Silva, the new Watford head coach, is offering Hughes the chance to play in the Premier League and an agreement is expected to be struck in the next few days.

Hughes has been one of the most highly regarded midfielders operating outside the top flight after making his Derby debut at the age of 16 under Nigel Clough.

Liverpool and Arsenal are just two of the elite clubs to have regularly scouted Hughes during his six years at Pride Park, but it is Watford who are finally giving him the opportunity to impress on the big stage.

Hughes' agent is Paolo Vernazza, the former Watford midfielder, and negotiations are now at an advanced stage between the two clubs. Gary Rowett, the Derby manager, is prepared to sell players to raise money for transfers and is reluctantly ready to bring Hughes' spell in the east Midlands to an end.

Derby are demanding a significant fee, which is believed to be around the £8m mark which could rise to more than £10m after instalments. The 22-year-old is currently in Poland with the England under-21s for the European Championships.