Arsenal are considering offering David Luiz a contract extension for next season on reduced terms, according to a report.

The Telegraph report that Arsenal are considering offer Luiz a contract extension, but at a reduced rate compared to this season. They claim it’s unlikely the Gunners will offer the centre-back the chance to stay on his current wages.

This follows the recent confirmation that Luiz is only on an initial one-year deal with Arsenal. The Gunners have the option to activate an extension clause for a second year, but they haven’t done so. They reportedly aren’t in talks over extending just yet.

However, those close to the player aren’t ruling out a stay. It’s clearly still on the table, it’s just a matter of waiting for the two parties to negotiate and come to a decision.

You can understand why Arsenal are delaying these kinds of talks at the moment. The current worldwide financial situation is a mess, and the Gunners can’t go around committing large amounts of money unless they’re sure it’s worth it.

Personally, I’m going to assume that’s all the delay is about until we hear otherwise. Luiz is playing well and appears happy, so it doesn’t seem like the situation is ready to blow up imminently.