Arsenal's hopes of signing Dani Ceballos on a permanent deal have reportedly taken a huge hit as Real Madrid plan to use the midfielder during the 2020-21 campaign.
Ceballos was deemed surplus to requirements at Madrid ahead of the current season and was sent on loan to Arsenal, where he has made 13 appearances in all competitions.
The Gunners are said to be keen on completing a permanent deal for the 23-year-old, who arrived at Los Blancos from Real Betis in the summer of 2017.
However, according to AS, Madrid have been impressed by the form of the Spain international this season and want to reintroduce him into the first-team setup upon his return.
Luka Modric's long-term future at the Bernabeu is far from certain, while Toni Kroos has also been linked with a move away from the club despite signing a new deal over the summer.
Ceballos - contracted to Zinedine Zidane's side until the end of the 2022-23 campaign - has scored five times in 56 appearances for the Spanish giants in all competitions.