The 33-year-old handed in a stunning transfer request at the end of last season to spark interest from City and PSG, before eventually agreeing to stay on.
Messi’s contract at Camp Nou expires in June and the Sun reports that the Premier League club have returned with a new, but significantly lower, offer.
City have tabled a deal worth £430 million, which would tie Messi to the club for eight years and include ambassadorial roles with other City Group clubs.
The report claims that the deal would see Messi play at the Etihad for two seasons with the option of a third, before spending two more years in MLS with City Group-owned New York City FC.
He would then have more years as an ambassador for the group, which could involve playing for another of their clubs in Australia, Spain, France, Belgium, Japan, Uruguay, India or China.
Although the sum is enormous, it marks a £170m reduction from the £600m package that the Citizens are believed to have offered Messi as a five-year deal last summer.
The Premier League leaders believe that the difficult financial climate caused by the coronavirus pandemic and the fact that Messi is a year older are reasons to cut their offer.
Messi has scored 20 goals in 29 games for Barcelona this season, but it has been a difficult campaign so far for the Catalan club.
Ronald Koeman’s side are currently third in the La Liga table, nine points behind leaders Atletico Madrid, while they suffered a humiliating 4-1 defeat in the first leg of their Champions League last 16 at home to PSG on Tuesday.
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