The Magpies are apparently reluctant to meet Tottenham’s valuation of the player which could stifle a possible deal.
Toon boss Steve McClaren is keen to add the winger to his squad and Newcastle have seen a bid of £10 million rejected with Spurs holding firm on their £14 million price tag, as reported by the Guardian. Townsend is allegedly desperate for the deal to go through with Euro 2016 on the horizon.
Newcastle are prepared to look elsewhere and have apparently earmarked QPR winger Matt Phillips as an alternative option at an estimated £5 million.
This is not the first time the Magpies have stuck to their guns on player valuations this season.
Last summer’s transfer struggle with QPR saw the North-East club stand firm on their £12 million offer for striker Charlie Austin, whilst Rangers wanted no less than £15 million.
Austin has since signed for Southampton at a bargain £4 million whilst Newcastle have struggled for goals, scoring only 24 times in 22 league games. Only four Premier League teams have scored fewer this season.
With both Southampton and Watford also showing interest in Townsend, Newcastle must make up their minds quickly on whether or not to meet Tottenham’s demands or risk losing him altogether.
A done deal could see flop Florian Thauvin return to Marseille on loan for the rest of the season, according to talkSPORT. The 22-year-old signed for Newcastle in the summer for £12 million but has been exposed by the pace and strength of the Premier League.
For just £2 million more, Newcastle now have the chance to sign an established Premier League player who at 24 years old has his peak years ahead.
Although Townsend has not appeared for Spurs since falling out with club coaches in November, he has shown bags of potential in his 10 caps for England and is highly regarded by boss Roy Hodgson.
Pacey, strong, forward thinking, and with the ability to create something-from-nothing, Townsend would be a perfect fit on Tyneside.
Sitting in the bottom three with 16 games remaining, owner Mike Ashley has signalled that money is there to spend. Newcastle must swallow their pride and splash the cash on a player who could save their season.