Arsenal are set for a double blow in the transfer department, with both Alex Oxlade-Chamberlain and Alexis Sanchez refusing to sign a new contract at the club. Both are in the final year of their contracts and there is intense speculation over their future.

The Mirror reports that Sanchez is pushing for a move to Manchester City in order to reunite with manager Pep Guardiola, with Bayern Munich refusing to meet his wage demands. Sanchez was initially signed by Barcelona under Guardiola and the Spaniard would like to reconnect with the Chilean as the Citizens look to challenge for the title next season.

Arsenal have previously maintained that they would not be negotiating a transfer to a Premier League club but if Bayern dropped out of the race, the Gunners would have no option other than holding on to the player and let him leave on a free next year, which makes no financial sense for the north London giants.

City have prised away Samir Nasri, Emmanuel Adebayor, Gael Clichy, Kolo Toure and Bacary Sagna from the Gunners in recent years and are confident of pulling off another coup despite protestations from Arsenal.

Meanwhile, the Telegraph reports that Chamberlain is also frustrated that the Gunners are dragging their feet over offering him a new contract after positive talks with the club following the end of the season.

The 23-year-old had a breakthrough season at the club this time around, scoring six goals and assisting 11 in all competitions, with Arsene Wenger operating him in a wing-back position despite the manager stating that his future lies in central midfield. Danny Welbeck has also come out in defence of the midfielder, stating that his best position would be through the centre, where he can make runs and also find the killer pass.

However, he will have to ward off competition at Arsenal, with Granit Xhaka and Aaron Ramsey occupying the preferred two positions while Mohamed Elneny and Francis Coquelin are also pushing for a place.