According to the Daily Express, Leicester are set to reduce their initial asking price of £80m to £50m for Chilwell in the 2020 summer transfer window.
The same article states that the Foxes are prepared to accept a reduced package to bolster Frank Lampard’s hopes of improving his Blues defence ahead of his second full season in charge.
According to the same story, the England defender has asked Leicester to be allowed to leave the King Power Stadium this summer after the Foxes failed to qualify for the Champions League.
The report goes on to state that the west London side are still in talks with Leicester about securing Chilwell’s signature but the Blues are thought to be willing to accept a £50m fee.
The story adds that Chilwell is unlikely to get his preferred number three shirt if he completes a move to Stamford Bridge unless Lampard offloads Marcos Alonso this summer.
The Leicester full-back has scored three goals and has made three assists in 27 games in the Premier League this season to help Brendan Rodgers’ side finish in fifth spot in the table.
Chilwell has come through the ranks at Leicester before the England international went on to score four times in 104 games in all competitions over the past four seasons.