The Portuguese midfielder has spent the past 18 months on loan at Monaco, who had an option to buy him permanently this summer but they have not taken that option due to finances.
Silva is out of contract in England next year and any transfer fee is likely to be minimal for a midfielder formerly of Sporting CP, who won the 2016 European Championships with Portugal.
The news comes as an injury to Carlos Soler has further limited Los Che’s options in midfield.
The exits of club captain Dani Parejo and Francis Coquelin to Villarreal from Los Che were also confirmed last month, following the exit of star winger Ferran Torres to Manchester City and striker Rodrigo Moreno has joined Leeds.
Furthermore, Cristiano Piccini has joined Atalanta on loan, Ezequiel Garay did not have his contract renewed and the loan deals for Jaume Costa and Alessandro Florenzi both expired.
Reports mean that the financial uncertainty means Los Che must slash their wage budget by a whopping 40 percent ahead of next season, with 12 first-team players at the club said to be up for sale this summer.
Image via Leicester Mercury