This, (minus the sadly). Walton has next to no experience of Championship football, never mind the Premier League. He is only 21, and still very young in goalkeeping terms. Send him out on a season's long loan again to another lower division club, and let him continue with his apprenticeship...
That was a long time ago now, and rumours are always rife in football. Probably no truth in it in the first place.
If he stayed he would pretty much be guaranteed to start every game in the Premier League. If he went to Chelsea he would be lucky to start one or two.
I know which I would choose.