Both north London clubs are believed to have tabled bids for the 24-year-old over the summer, with Tottenham in particular appearing keen to bring the Argentina international to the Premier League.
However, the £97.5million sale of Romelu Lukaku to Chelsea meant that Inter’s financial worries were eased, and they had little need to also cash in on Martinez.
Lautaro Martinez is reportedly close to agreeing a new five-year deal to stay at Inter Milan
Inter would demand £85m for the Argentina international if the new deal is confirmed – Arsenal and Tottenham will be both watching on with interest to see if he signs on
It now looks like it will be even harder to prise him away, with Gazzetta dello Sport reporting the striker will agree a new five-year deal at Inter before the end of the season.
It’s believed the Italian club would demand £85m to sell Martinez should he sign the contract extension, whose current deal expires in 2023.
That means next summer the striker would be entering the final year of his contract, however a new deal now looks likely and that would strengthen Inter’s hand significantly.
Martinez missed the first Serie A game of the season, but has scored in both matches since against Verona and Sampdoria.
While Lukaku was Inter’s main man last season as they won a first Serie A title in over a decade, the Argentina striker was still an important contributor under Antonio Conte.
Martinez formed an extremely successful partnership with Romelu Lukaku for the Italian side
He scored 17 goals and provided 10 assists, forming a formidable partnership with the Belgian in an incredibly successful system.
This season, under new manager Simone Inzaghi, he has a new partner at the top of the pitch. Edin Dzeko arrived at the club over the summer, on a two-year deal, and has started all of his new side’s matches so far this season.
The 35-year-old and Martinez will be leading Inter in their Champions League campaign, with Real Madrid, Shakhtar Donetsk and Sheriff Tiraspol in their group.
Both Real and Shakhtar were in Inter’s group last season, when the Italian side finished last and picked up just one win across the six matches.
Edin Dzeko signed for Inter over the summer and has been partnered with Martinez up front