Silva's five-year contract at Craven Cottage expires this month and Fulham have offered him a substantial renewal — reported at around £8m per season on a long-term deal — but the 48-year-old has prioritised a return to Portugal over financial security in west London.
Benfica are seeking a successor to José Mourinho, who led the club to third in the Primeira Liga before agreeing a three-year deal to return to Real Madrid. Their primary target had been Rúben Amorim, but the former Manchester United manager has opted for a sabbatical after his difficult spell at Old Trafford.
With Amorim unavailable, attention turned to Silva, and discussions progressed quickly. Reports from talkSPORT suggested a verbal agreement had been reached on terms worth around £4m per year — roughly half of Fulham's offer. However, A Bola subsequently reported that talks had stalled due to financial disagreements, with Benfica's proposal falling short of Silva's expectations.
Fresh talks followed and Silva is now understood to be close to a final decision, with the pull of Champions League football and consistent title competition weighing heavily against the comfort of Premier League stability.
Silva joined Fulham in July 2021 and transformed the club from a recently relegated side into a consistent top-half Premier League presence. In his first season he won the Championship and secured promotion. He then oversaw four successive top-flight campaigns, finishing 11th last season with 52 points.
During his tenure he attracted interest from several clubs, including Chelsea, who considered him during their managerial search before ultimately appointing Xabi Alonso.
A two-year contract with an option for a third year is understood to be the framework under discussion at Benfica.