Cole Palmer has joined Chelsea from Manchester City in a deal worth up to £42.

The Blues will pay an initial £40 million, with the rest made up of add-ons.

City initially valued their academy talent at £50 million but reached a compromise for Palmer with a £40 million fee and a further £2.5 million due in add-ons.

The deal for the midfielder brings Chelsea’s spending since Todd Boehly took over the club last year to £1bn.

Chelsea’s spending under Todd Boehly:

Moises Caciedo £115m

Enzo Fernandez £106.7m

Mykhailo Mudryk £88m

Wesley Fofana £73m

Marc Cucurella £62m

Romeo Lavia £58m

Christopher Nkunku £53m

Raheem Sterling £47.5m

Cole Palmer £42.5m

Axel Disasi £38m

Benoit Badiashille £35m

Kalidou Koulibaly £34m

Nicolas Jackson £32m

Noni Madueke £29m

Malo Gutso £26m

Robert Sanchez £25m

Lesley Ugochukwu £23.8m

Carney Chukwuemeka £20m

Andrey Santos £18m

Deivid Washington £17m

Pierre Emerick-Aubameyang, £12m

Joao Felix: £9.7m (loan fee)

Gabriel Slonina £9m

David Fofana £8m

Jimmy-Jay Morgan £3m

Denis Zakaria: £3 million (loan fee)