Arsenal have informed Everton that they are currently not prepared to let Ainsley Maitland-Niles leave on loan.
The Blues were in talks with The Gunners about the possibility of a loan spell for the 24-year-old, who can play at right-back and midfield.
But Arsenal have let Everton know they are not willing to loan Maitland-Niles on the deadline.
READ MORE: Gary Lineker wades into Ainsley Maitland-Niles transfer row after Arsenal block Everton move
The player is reportedly set to speak with Mikel Arteta this afternoon in hopes of pushing through a late transfer away from the Emirates.
Everton have been looking for a new right-back all summer and finding competition has been considered the priority for the window, but time is now running out for the Blues to sign a contract.
And hopes of adding Maitland-Niles to the roster met a roadblock after Arsenal made their stance clear.
It remains to be seen whether Arteta will soften his stance as the day goes on.
Denzel Dumfries was put forward early on in the shop window by football director Marcel Brands, but the Holland international signed for Inter Milan.
Brands and Rafa Benitez have discussed a host of names, but before the 11pm deadline there is doubt whether Everton will make a right-back signing.