Liverpool are monitoring Theo Walcott's situation at Arsenal.

The Mail on Sunday says, however, the player's wage demands may put off the Anfield outfit.

Walcott signed a near £100,000-a-week deal with the Gunners just two years ago but is already seeking improved terms to commit himself to the club for a further five years.

It remains to be seen whether Arsenal are prepared to up his wages again given his appearance record over the past two years which has been hampered by more injuries.