BBC Sport journalist David Ornstein has confirmed that “there is no major money available for any new major signings”.
The Gunners have signed just two first-team players this summer, with Alexandre Lacazette the only one to arrive for a fee.
The striker was signed for a club-record £46million, while Sead Kolasinac was a free transfer from Schalke.
Both players are on big wages however which, combined with Arsenal’s currently bloated first-team numbers, is restricting their ability to do business.
According to Ornstein, who is perhaps the most reliable Gunners source around, there will be no direct replacement for the outgoing Alex Oxlade-Chamberlain.
Ornstein does suggest that Alexis Sanchez will only be sold if Arsenal can find an adequate replacement, as well as receive a large cash sum from Manchester City, which does correlate with Thursday’s earlier reports.
“Why aren’t they replacing [Oxlade-Chamberlain]?,” explained Ornstein on BBC Radio 5 Live. “Arsenal’s squad was particularly heavy only a few weeks ago – about 35 strong – but they needed bring that down to 25 for the Premier League. Some players have left, some won’t be registered for the first team.
“The outlay on Alexandre Lacazette, when salary is factored in, eats into an enormous amount of their overall transfer budget especially when you add the Kolasinac salary in as well. There is no major money available for any new major signings.”
Arsenal have no plans to replace AOC & no money for major signings, but only way Sanchez leaves is if #AFC get massive money & replacement
— David Ornstein (@bbcsport_david) August 30, 2017