Liverpool's hard work payed off, another Steven Gerrard penalty and Craig Bellamy's fine curl shot seeing their side through to the Carling Cup final with a 2:2 draw on the night at Anfield, 3:2 on aggregate, to take the Reds to Wembley and end their 16-year absence.
Joe Hart's heroics for City were all to no avail in the end after the England goalkeeper had created some breathtaking saves against Gerrard, Bellamy, Stewart Downing, Charlie Adam, Dirk Kuyt and Martin Skrtel.
In both halves, City made comebacks out of nowhere and gave them hope they could pull themselves out and through somehow.
First, after 30 minutes of Liverpool dominance, the home side creating chance after chance and seeing a Bellamy goal disallowed for offside, Nigel de Jong smacked one in from outside the box, a right-foot slip-curler, top-strike giving City the lead against the run of play.
But the lead did not last long, when on 39 Micah Richards handled the ball inside his box and conceded a penalty. The defender did not know much about it, it went so quick and before he or City knew it, Gerrard netted the penalty and took Liverpool into half time level on the night, leading 2:1 on aggregate.
The second half showed the same trend, Liverpool dominating and outclassing City until halfway through the half Edin Dzeko blasted one in off Aleksandar Kolarov's beauty of a cross from the left to give City another unpredictable lead.
Five minutes later, man of the match Bellamy killed off any City excitement or hope, curling Glen Johnson's cross into the left corner after a nice one-two cross exchange.
City tried to press late on but never looked too much of a threat to Pepe Reina, not seeing another comeback out of nowhere.
It was a fair result after a tense thriller, which saw Liverpool through to the final where they will meet Bellamy's former side Cardiff at Wembley on Sunday 23rd February.
But before the Reds get too excited, they should check their fixture list: with Manchester United up next at Anfield in the FA Cup fourth round, February will see Liverpool welcome Tottenham home and meet United again at Old Trafford this time in the Premier League before the big Carling Cup final against the Welsh side (followed by Arsenal at home in the league!).
It will be make or break time for Kenny Dalglish over the next few weeks, the Reds expectantly waiting for their first trophy since 2006.
Liverpool Goals: 1.: 39:53 min Steven Gerrard (8) penalty, 2.: 73:36 min Craig Bellamy (39).
Liverpool: Reina; Glen Johnson, Skrtel, Agger, Enrique (booked 64); Henderson, Adam, Downing, Gerrard (booked 5); Bellamy (Kelly 87), Kuyt (Carroll 91). (4-4-2)
Subs not used: Doni, Coates, Shelvey, Carragher, Maxi.
Man City Goals: 1.: 30:51 min Nigel De Jong (34), 2.: 66:38 min Edin Dzeko (10).
Man City: Hart; Richards, Savic (Aguero HT), Lescott, Kolarov (booked 56); De Jong (Adam Johnson 78), Barry, Zabaletta; Silva, Nasri, Dzeko. (4-3-3)
Subs not used: Pantilimon, Hargreaves, Milner, Clichy, Rekik.
1st & 2nd half stats:
Liverpool-Man City
Attempts: 8-2 & 7-4
On target: 6-1 & 5-3
Offsides: 4-0 & 2-1
Corners: 8-1 & 4-1
Free kicks: 2-4 & 5-3
Sky Stats:
Liverpool-Man City
Possession: 38%-62% (19.min), 40.5%-59.5% (1st half), 35.1%-64.9% (2nd half) & 37.9%-62.1% (FT)
Passing Success: 74.6%-86.7
Territorial Advantage: 55.5%-45.5%
Action Areas: Liverpool 12%-41%-47% Man City (59.min)
Referee: Phil Dowd (Staffordshire)
Man of the match: Craig Bellamy
