Arsenal are considering a swap deal involving Isco and Mesut Ozil but are likely to face competition from Chelsea and Tottenham for the Real Madrid midfielder, according to The Independent.
It comes amid continued speculation over the future of Ozil, who has been linked with several clubs.
So too has Isco, who has long been linked with a move to the Premier League from Real.
The Independent say Arsenal are considering a deal which would see Ozil rejoin his former club and Isco move to the Emirates Stadium.
But Spurs and Chelsea have also been linked with Spain international Isco, who has been tipped to move during next month’s transfer window.
Meanwhile, Monaco boss Thierry Henry wants to sign his former Arsenal team-mate Cesc Fabregas from Chelsea, according to the Daily Mirror.
There continues to be speculation over the future of Tottenham boss Mauricio Pochettino.
The Times say Real Madrid would rather reappoint Jose Mourinho following his sacking by Manchester United than install Pochettino, who has also been linked with the United job following Mourinho’s departure.
The Times say United also want Tottenham’s head of coaching and player development John McDermott as part of their plans to recruit Pochettino at the end of the season.
The Daily Mail say Fulham boss Claudio Ranieri is interested in signing Danny Simpson from Leicester, where the defender won the Premier League title under the Italian.
And Thomas Frank faces the sack as Brentford head coach if they do not beat Bolton, according to The Times.