Mario Balotelli was left out of the Manchester City squad for the loss at Real Madrid after he clashed with Roberto Mancini over his party lifestyle and smoking habit, according to reports.The Italian striker was made to travel to Madrid despite not even making the bench and watched his team-mates let a lead slip twice as they went down 3-2 at the Bernabeu.A source told the Daily Star: 'Mario Balotelli is in the bad books on two fronts – a very late night out after the Stoke game and his refusal to stop smoking.‘He and Mancini had words on Monday afternoon and it led to him being dropped from the squad.’ The fiery 22-year-old was pictured partying with boxer Amir Khan at Circle Club in Manchester hours after Saturday’s disappointing 1-1 draw at the Britannia Stadium.He has often been spotted smoking and has apparently refused offers from the club to have counselling and hypnosis to kick the habit.Balotelli joined for £24million from Inter Milan in 2010 and, despite his undoubted talent on the pitch, has often caught attention for all the wrong reasons.He once set fire to his house after letting off fireworks in his bathroom and also raised eyebrows when he threw a dart at a City youth team player.