Arsenal midfielder Dani Ceballos is set to leave for parent club Real Madrid.

PA Sport says Ceballos will return to Real Madrid at the end of his current loan spell at Arsenal.

The Spain midfielder has spent the last two seasons at the Emirates Stadium and is in line to make his 50th Premier League appearance in next week's game at Crystal Palace.

The 24-year-old found first-team opportunities limited at Real Madrid before joining the Gunners in 2019 on a season-long loan – a move that was then replicated for the current campaign.

However, Ceballos will not stay at Arsenal beyond the summer with neither a third loan nor a permanent transfer likely.