Vardy has been a revelation for Leicester since joining the club in the summer of 2012 from then non-league Fleetwood Town.
The talented forward was instrumental in helping Leicester win promotion to the Premier League last season, scoring 16 goals in their successful Championship-winning campaign.
Vardy's performances at the King Power Stadium have not gone unnoticed, with several Premier League clubs firm admirers of the former Sheffield Wednesday youngster.
Vardy is entering the final year of his contract at Leicester and the club are keen to reward the 27-year-old for his progress with a new four-year deal to secure his long-term future.
Leicester have tied down the likes of Wes Morgan, Danny Drinkwater, Kasper Schemeichel, David Nugent, Liam Moore and Jeffrey Schlupp to new deals this summer and they hope Vardy follows suit as they prepare for the start of the season next month.