Theo Walcott has reassured Arsenal supporters by declaring that he is confident that he will sign a new contract and remain at the Emirates beyond the end of the season.

The England international is out of contract at the end of the season and there has been plenty of speculation that he would decide to run down his deal and leave on a free in the summer.

Theo Walcott
Walcott is assured fans that he is confident a new deal will be signed at Arsenal [Reuters]

However, in the matchday programme for Arsenal's 2-0 win over Montpellier in the Champions League, which saw the Gunners qualify for the knockout stages, Walcott told of his desire to sign a new deal.

'It's important for me that something gets sorted out, because I enjoy playing for this club," Walcott said. "I don't think you can put a timeframe on when it will be resolved, though when both parties are sure, it will happen."

The Daily Mail has reported that Arsenal refused to offer Walcott a new deal in the summer as they were unwilling to increase their original of £75,000-per-week.

Walcott turned down the offer and it had seemed as though both parties would refuse to back down, and that the winger would either be sold in January or allowed to leave in the summer.

But the recent form of Walcott has been hard for manager Arsene Wenger to ignore as he has already scored nine goals and provided seven assists.

The Mail now believes that because of the upturn in form, Arsenal are now prepared to offer wages of between £80,000 - £85,000-a-week.

There had been suggestions that Walcott was looking to become one of the top earners at the club by demanding £100,000-a-week, but it seems the two parties will be working hard over the coming weeks to make sure a compromise is made.

A number of clubs both in England and in Europe are said to be interested in snapping up the winger if he does not sign, with Liverpool, Manchester City and Juventus three of the strongest contenders.