The two clubs have reached an agreement after intense speculation on Saturday that the England winger was on his way to the West London club.
The Blues have now given the twenty three year old permission to talk to the Premiership Champions.
Shaun Wright-Phillips has now been withdrawn from the City squad that will travel to Thailand on Sunday night as his eight year stay with the Blues comes to an end.
The midfielder pulled out of City’s pre-season encounter with Macclesfield on Saturday citing a stomach bug.
He then contacted City Chairman, John Wardle to seek permission to talk to Chelsea and expressed his desire for the club to reach an agreement with the Champions.
His request was initially turned down but now that the clubs have reached an agreement he has been told he can discuss personal terms with Chelsea.
The winger made a hundred and fifty League and Cup starts for the Blues scoring thirty one goals following his debut in August 1999 in a League Cup draw at Burnley.
“As a result of Shaun’s request to speak to Chelsea we have conducted a series of complex negotiations with Chelsea,” explained communications chief, Paul Tyrrell. “A fee for Shaun’s transfer has been agreed and consequently we have granted his wish to talk to the other club.”
