Fulham and Everton have also been mooted as possible destinations.
The former England international is desperate to rebuild his career after a tough period at Man City.
Phillips signed for Man City in July 2022 on a six-year contract for £42.5million.
Despite an initial positive impact, on his return from the World Cup in December 2022, manager Pep Guardiola said that Phillips was overweight, a few months later Guardiola apologised.
He joined West Ham on a six-month loan in January but struggled with fitness and form and any permanent return was ruled out.
His loan spell hit a low in March during a 4–3 away defeat to Newcastle United.
The Hammers were winning 3–1, but Phillips gave away a penalty shortly after coming on as a substitute.
A new start at the freshly promoted side Ipswich maybe be welcomed by Phillips.
Phillips, who was an unused substitute in last weekend’s Community Shield triumph, had even been deployed in defence to get minutes during pre-season.
“He is a central midfielder, but I said many times Kalvin likes to see all the game in front of him,” Guardiola said.
“When he is in the middle surrounded by players he struggles a little bit. But he helped us a lot in the last couple of games on tour. I should have seen that before. His confidence is back.”
Guardiola previously admitted: “I know Kalvin when he gets the ball and can see all the pitch in front of him he’s a really good player. When he has the small spaces there are more problems.
“That’s why with the problems we have he makes an incredible effort with his position. He was confident with the ball and helps us a lot.”
