Ancelotti led Chelsea to a league and FA Cup double in 2010 but left the club a year later
He is out of work after leaving Real Madrid at the end of last season and turning down an approach from former club AC Milan, but dismissed suggestions he was ready to replace the under-pressure Mourinho at Stamford Bridge.
"I would have no problem with Chelsea," he told the Daily Mail
"But Jose won't be sacked
They already chose to keep him, and I think they made a good choice."
Ancelotti said he had not been approached by Liverpool prior to the appointment of Jurgen Klopp, but said he would be keen on a return to the Premier League if the right job came up.
"I would like to come back to work in England," he said
"I love the football here, I still have a house in London, and I would like to be with a team that is competitive in England and in Europe
"I think Liverpool are a good team...I think they can be really competitive
But I did not speak with them
If I spoke with them I can say 'yes' but no, I did not."
Source : PA