Inter Milan striker Lautaro Martinez deals Tottenham and Arsenal a major transfer blow

Tottenham and Arsenal's pursuit of Inter Milan striker Lautaro Martinez looks to be all but over after his agent again insisted that he wants to stay at his current club.

Sportsmail reported last weekend that Spurs agreed a £60million deal with the Serie A side for their star frontman, in the hope of playing him alongside Harry Kane.

It is also understood that Arsenal hold a strong interest in Martinez, but both north London rivals have been dealt a severe blow by the player's refusal to leave.

According to representative Alejandro Camano, Martinez will even hold talks next week over extending his contract at the San Siro.

Sport Italia reporter Gianluigi Longari revealed the stance from the 23-year-old's camp to TYC Sports.

Reporting Camano's quote on Twitter, Longari said: 'He doesn't want to leave Inter.

'Scheduled next week [is] a meeting for talking about a contract extension.'

The latest update adds another twist in the transfer saga which will likely see Martinez remain in Italy, despite clubs in the Premier League pushing to land him.

Sportsmail understands that Tottenham were able to strike a deal with Inter for Martinez before Chelsea swooped in for Romelu Lukaku, complicating matters.

Spurs were hopeful they would be able to pull off the big-money transfer and secure his signature before Arsenal, with sources adamant he would play with Kane.

But the mood from Camano and Martinez has long since been one of defiance, partly because of his sparkling connection with Inter supporters.

'Lautaro is an Inter player and is happy in Italy. His decision is to stay,' Camano has also said.

'The relationship with Inter is perfect. Lautaro Martinez is calm. Yes, it is true that there were offers, but today he is fine and we will sit down to talk about the future.'

When asked about the terms of his new contract, he added: 'The renewal? Lautaro is from Inter, he will never enter into conflict with the club. Never, this is reality.'

Martinez played an integral role in leading Inter to the top-flight title in Italy last season, having scored 17 goals in 38 league appearances.

He would almost certainly boost Tottenham and Arsenal's hopes of European football, too, after netting 31 goals in all competitions in total.

With Spurs seemingly missing out on their target, they have now reportedly joined the race to sign Watford winger Ismaila Sarr.

Eurosport claimed that the club have earmarked flying forward Sarr as a potential alternative, although Watford are keen for the player to stay.