Mo Salah’s second half goal proved the difference in a match which could have gone either way.
Watch a full-match replay on CITY+ or Recast
Salah could have scored immediately after the half-time break, but an incredible save from Ederson denied the Egyptian.
Phil Foden appeared to have put City ahead moments later, only to see his strike ruled out for an Erling Haaland foul after referee Anthony Taylor adjusted his decision following a VAR intervention.
Haaland had several opportunities of his own, but Liverpool goalkeeper Alisson was equal to his efforts.
Both sides had the chances to win, but it was Liverpool who came out on top thanks to Salah’s 76th minute finish.
Click on the above video to see how events unfolded on Merseyside...