Newcastle United held talks with the striker but have lost out to Chelsea.
Delap joined newly-promoted Ipswich Town last summer from Manchester City - where he made just six first-team appearances and spent time on loan at Stoke City, Preston North End and Hull City - in a deal worth £20million.
Despite Ipswich’s relegation from the Premier League - confirmed via a 3-0 defeat at St James’ Park last month - Delap enjoyed a productive campaign by scoring 12 goals.
Liam Delap turns down Newcastle United move in favour of Chelsea
The 22-year-old has a £30m relegation release clause, which has alerted several clubs. Newcastle, Manchester United, Everton and Nottingham Forest all held talks with Delap and his representatives, however the striker has opted for a move Chelsea.
Man City, where Delap first worked with Chelsea boss Enzo Maresca, have decided against activating their buy-back clause and will instead bank around £9m in sell-on.
Fabrizio Romano wrote on X: “Liam Delap to Chelsea, here we go! Agreement in place as £30m release clause will be triggered.
“Manchester City will not use buy back clause and Delap has already accepted Chelsea project. Long term deal, Maresca’s impact + UCL football key. Delap will join #CFC.
“Liam Delap will sign his Chelsea contract in the next 24 hours as Ipswich Town has now authorized medical tests.
“Man City will get 30% of the deal as they had sell-on clause included in agreement with Ipswich Town. Buy back clause won’t be activated, Delap will join #CFC.”
Newcastle United hold contract talks with Callum Wilson
With Callum Wilson set to leave - as it stands - at the end of his contract on June 30, Newcastle viewed Delap as someone who could replace the former England international and support Alexander Isak.
But there is still a chance Wilson could stay. United have opted against triggering his one-year extension, instead entering negotiations about a new deal that is slightly more incentive-based.
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“Well, let's wait and see. We're going to sit down and talk with his representatives,” Newcastle boss Eddie Howe said last week.
“What I can say is Callum Wilson is and has been just an incredible footballer for Newcastle, someone who epitomises the spirit that's got us to where we are. Really professional, brave. I mean, to come here and be the number nine in the manner and the moment that he did in the club's history, it was a difficult moment.
“The club needed hope and Callum gave them hope. He led the line with that responsibility and the pressure that that role brings unbelievably well. He brings a positivity to the group, he's a leader within the changing room. He's just been incredible and let's wait and see what happens.
“It was great to see him have that relationship with the supporters. There's still so much respect there between the two.”
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