Alli has struggled to find anything close to his best form since leaving Tottenham a couple of years ago.
He has been absent from Sean Dyche's squad for the past 12 months, with a quad and back injury causing him a lot of issues.
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According to The Athletic, Alli is back at Everton's Finch Farm and going through with his rehabilitation.
He is hoping that he will be able to play some football before the season ends, likely at U23 level.
The source adds that Everton are likely to offer him a one-year deal, which may be performance based.