The England Under 19 left back, who is currently on-loan at Northampton, is to be offered a new deal by Blues boss Steve Bruce.
"Matt will be offered a new two-year deal,” Bruce told the Press Association.
Sadler made his Premier League debut in the home game with Bolton Wanderers last season but has been hampered with a series of niggling injuries over the past few months.
New Contract On Table For Sadler
