Vardy staying at Leicester, says Wenger

Striker Jamie Vardy is likely to turn down a move to Arsenal and stay at Premier League champions Leicester City, the north London club's manager Arsene Wenger has said.

British media reported earlier this month that Arsenal, Premier League runners-up last season, had triggered a buy-out clause in the 29-year-old's contract with a bid of around STG20 million ($A38.91 million).

Vardy, the Premier League's joint second-highest scorer last season with 24 goals, was expected to decide on his future after the Euro 2016 tournament in France, where he is on duty with England, but Wenger indicated the move was now unlikely.

"Jamie Vardy is, at the moment, at Leicester and from what I know, he will stay at Leicester," the Frenchman said in an interview on Chinese television.

Vardy scored his first goal of the Euros when he came off the bench in England's 2-1 win against Wales on Thursday, and is set to make his first start of the tournament against Slovakia on Monday.