Alao had attracted strong interest from top-flight clubs, including Manchester United and Liverpool. United were reported to have submitted a bid of around £450,000 before Christmas, but Sheffield Wednesday rejected the offer.

Chelsea ultimately won the race for the defender, with the final transfer fee believed to be around £500,000.

Born in Doncaster, Alao has been monitored by elite clubs for several years due to his rapid development. He made his senior debut for Sheffield Wednesday at just 16 years old, featuring in a Carabao Cup match against Bolton in August.

The young defender has gone on to make five first-team appearances this season.

Chelsea is expected to manage Alao’s development carefully following his arrival. The teenager could be loaned out to an EFL club to gain regular first-team football, a pathway previously taken by other young Blues signings such as Jimmy-Jay Morgan and Caleb Wiley.