Arteta led Arsenal to 85 points last season, seven clear of Manchester City, ending the club’s 22-year wait for the Premier League title in what was a career high for the Spaniard.
The Premier League Manager of the Season also led the club to the Champions League and EFL Cup final last season, but the North London side collapsed against Paris Saint-Germain on penalties and Manchester City in regular time.
Arteta’s current deal in North London expires at the end of the current season and the BBC reported on Tuesday afternoon that a deal has been agreed between him and the club.
The report states that the length of the contract is unknown, but Arteta will be handed a major pay bump from his current salary of £10m per year plus an additional £5m in bonuses.
Speaking about his contract talks, Arteta said last week: "They (the fans) don't have to worry about any of that because I want to be here. I'm extremely happy and I feel very grateful to work with the people I work with."
Arteta has now taken Arsenal from three successive second-place finishes to actual Premier League champions and will be seeking to retain the title and to hunt down the club’s first Champions League title.
After overseeing 354 games with the side, with a win rate of over 60%, fans will feel that Arteta deserves his new deal which should be announced over the next week.