Walker's return will be welcomed by the fans, who regard him as a saviour figure who took the club to some of their greatest achievements - including the defeat of Bayern Munich in the Uefa Cup in Germany in 1993.
The former Colchester goalkeeper left the club in January 1994 when he believed it was impossible for him to work any longer with the former chairman, Robert Chase. His arrival at Everton was shrouded in controversy after Chase accused him of listening to offers from other clubs, contrary to FA rules, an accusation Walker denied. However, an FA inquiry later fined Everton heavily for the way in which they went about attracting Walker to the club.
Thousands of Walker's followers wanted him to return to the club after his unhappy 12-month spell at Goodison Park ended in the sack last year. But when asked at the time whether he would go back to Carrow Road, Walker said: "I love the club but, while the present chairman is still there, I don't think it's a realistic possibility."
Overwhelming fan pressure, however, persuaded Chase to stand down earlier this summer,
Gary Speed yesterday signed a five-year contract with Everton after leaving Leeds United in a pounds 3.5m deal. "My dream [as a boy] was to play for the club and it's never really faded," he said. "Maybe I stayed at Leeds one or two seasons too long. Maybe I need a move to get my career going again."
Sheffield Wednesday have made an offer in the region of pounds 2.6m for the 19-year-old Charlton Athletic midfielder, Lee Bowyer, who is also wanted by Coventry and Leeds.
Trevor Francis' team building at Birmingham City continues with the Blackburn striker Mike Newell the target of a pounds 1.5m offer.