James Maddison is all set to be offered new contract amid interest from Tottenham Hotspur and Newcastle United.
The Daily Mail report the Foxes are readying a pay rise for the England international when the Premier League season starts.
Newcastle have reportedly made a £40 million offer for Maddison, which has been turned down by Leicester already.
That is despite their transfer business this summer being logjammed by their inability to move players on, raising cash and creating space in the squad.

James Maddison to be offered new contract
Leicester have fringe players they want to offload, but they are not generating the level of transfer interest they had hoped for.
So that raises the prospect that they would have to sell a top star like Maddison, but they are understandably reluctant to do so.
They want him to commit his future to the club, as they face the prospect of losing Kasper Schmeichel, who would be a huge miss.
Tottenham have also been credited with an interest, and have apparently made contact over signing Maddison, but Newcastle’s bid is more advanced.
Former Newcastle defender Jose Enrique has already given his view on the potential swoop to bring Maddison to the north east.
At £40 million, he would have been the club’s joint-record signing, alongside Joelinton.
But Leicester have made a habit of selling their top talent for absolutely top dollar in recent seasons and that is a habit they will not want to break.
All parties involved will get an idea of Maddison’s intentions, depending on how receptive he is to the idea of a new deal at the King Power Stadium.
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