West Ham remain interested in bringing Jesse Lingard back to the London Stadium, however, Newcastle United are in pole position for the England international's signature.
Lingard's made his intentions clear to Manchester United that he wanted to leave his boyhood club on transfer deadline day with interim manager Ralph Rangnick open to the move.
West Ham approached Manchester United earlier on deadline day with a view to a loan move until the end of the season, with the Hammers prepared to offer a greater package to the one agreed a year ago.
However, Manchester United are remaining steadfast in their stance that they will not deal with West Ham this transfer window as they view the Hammers as a direct rival for a top-four spot.
It appears West Ham's success is standing in their way of a deal for Lingard with the Hammers' improvement under David Moyes elevating them to European contention on a regular basis.
West Ham's chances of a deal for Lingard look to be dead unless there is a huge and unlikely change of heart at Old Trafford. football.london understands that Lingard's preference is a return to east London but with his contract expiring at the end of the season, the player is powerless to push the move through and if he wants to leave Old Trafford this window he may have to move to St James' Park.
Newcastle are understood to have tabled a loan bid of £3million with a £4m bonus payable to Manchester United should the Magpies avoid relegation.
The finances of the deal are still up for negotiation with Manchester United previously demanding a £12m bonus. Whether a compromise between the two sides can be met is still up in the air but Manchester United's reluctance to strengthen West Ham remains.
As things stand it appears Lingard will either head to St James' Park or run out his contract on the substitutes' bench at Old Trafford for the remainder of the season.