The 28-year-old Liverpool midfielder underwent a medical in Leeds on Wednesday after the two clubs agreed a fee.

Barmby has agreed personal terms and will be unveiled by the Elland Road outfit at a press conference at 1530 BST on Thursday.

Barmby, 28, was troubled by a foot injury last season and started just seven games for Liverpool.

He has recently found himself even further down the Anfield pecking order following the summer signings of Bruno Cheyrou, Salif Diao and Alou Diarra.

He joined Liverpool from rivals Everton two years ago in a �6m deal.

He featured in the Reds side which won the Worthington Cup, FA Cup and Uefa Cup the following season but after starting in England's 5-1 win in Germany last September his 2001-02 campaign was ruined by injury.

Joining Leeds would reunite the Hull-born player with former manager Venables, under whom he began his professional career.

The versatile 28-year-old left White Hart Lane for Middlesbrough in 1995 before moving on to Goodison Park just over a year later.

Barmby will increase Venables' midfield options, particularly on the left, where Harry Kewell is his only recognised specialist.

If Barmby's signing goes through, the manager may opt to play him on the left side of the Leeds midfield and give Kewell a free role behind the two main strikers, something he has experimented with during the pre-season programme.

Leeds chairman Peter Ridsdale hinted that Barmby's arrival was linked to Kewell's new role.

"Nick is a player Terry admires and wants. He has been playing Harry Kewell in a different position and that has created an imbalance. Hopefully Nick will help redress that."

Ridsdale said Barmby's signing should be the first of several by Venables following the �30m departure of Rio Ferdinand to Manchester United.

"We agreed when we offered Terry the job he could bring in two or three players he wanted and he told me who they were," Ridsdale said.

"This could be the first of them but we have also still got to reduce the squad size.

"I said in February there were four (players) too many and only Rio has gone, so you can expect some movement both ways over the next few weeks."