Crystal Palace manager Roy Hodgson admits that Michael Olise's new four-year contract is great news for the club.

The winger was destined for a move to Chelsea after they had triggered a release clause in his contract.

However, Palace convinced him to sign a new deal and continue his development under Hodgson.

"It's the best possible news we could have," Hodgson said in his pre-Arsenal press conference.

“I had been concerned – it's always concerning when a club of Chelsea's stature take interest in a player, and people will suggest that a move to them might be the best bet.

“I had always hoped that wouldn't be the case and that Michael would realise that at such a young age his future here is very bright, and we can help him move very quickly on to another level. The decision has been his.

“I am delighted for the club, and I must congratulate Steve Parish and Dougie Freedman on the fantastic job they have done in persuading him that, with this pressure from outside, 'this is your place and this is where we think you will progress in the right way and develop in the right way'."