Tottenham are leaving Manchester City striker Gabriel Jesus to North London rivals Arsenal.

The London Evening Standard says Spurs were thought to be pursuing Gabriel Jesus, but they have now made the decision to back off, leaving Arsenal free to sign the Manchester City forward.

The 25-year-old's agents were travelling to England to try and secure the deal.

The Gunners saw their initial £35m bid for Jesus knocked back by last season's Premier League champions, but might be more successful with a higher offer.