Watford’s proposed deal with Arsenal for Kieran Gibbs broke down over wage demands, reports The Daily Mirror.
Marco Silva is keen to sign another left-back to provide competition with Jose Holebas and had identified Gibbs as an ideal signing.
The Hornets were confident of agreeing a fee with Arsenal despite the fact they were unwilling to match their £16m valuation but any deal is now off the table.
Gibbs has entered the final 12 months of his existing Arsenal deal and is not interested in taking a pay cut on his current £80,000-a-week wages, which is where the deal broke down with Watford.
The 27-year-old has dropped even further down the pecking order this season following the arrival of Sead Kolasinac over the summer, while Alex Oxlade-Chamberlain was even picked over him at left wing-back against Leicester on Friday night.
Gibbs has only started 11 games in the last three Premier League campaigns and his unwillingness to take a pay cut has reportedly left Watford bemused, as they could offer regular first team football.
