Football transfer gossip (January 3): Derby County, Nottingham Forest, Blackpool

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Check out latest football transfer gossip around the leagues. Is your favourite player tipped for a move?

Arsenal are set to bid £32m to meet the release clause for Atletico Madrid striker Diego Costa. The Brazil-born forward, 25, is also wanted by Chelsea and has scored 19 goals in La Liga this season.

Full story: Daily Star

Diego Costa

Brazilian Costa signed a new five-year contract with Spanish club Atletico in August

Napoli could move for Chelsea midfielder Juan Mata after manager Jose Mourinho made it clear that the Spaniard could leave Stamford Bridge. Juventus, Inter Milan, Paris St-Germain, Manchester United and Liverpool also want the 25-year-old but Chelsea will not let him join another Premier League team.

Full story: Daily Mirror

Blackpool winger Tom Ince, 21, tops Ole Gunnar Solskjaer’s wish list to strengthen Cardiff’s squad in January. Ince, son of Blackpool boss Paul, is rated at £8m.

Full story: The Sun (subscription only)

Chelsea will demand £25m from Wolfsburg for Kevin de Bruyne. The Bundesliga side want to sign the Belgium winger, 22, this month, while Atletico Madrid want to sign him on loan.

Full story: Daily Telegraph

Belgium winger De Bruyne has started only two Premier League games this season for Chelsea

West Ham and Stoke are to battle it out to sign Manchester City’s 21-year-old Swedish striker John Guidetti on loan.

Full story: Daily Mirror

City boss Manuel Pellegrini will only consider sizeable bids for Joleon Lescott, 31, this month. The England defender’s contract expires in the summer and he is wanted by Besiktas, Tottenham, Everton, Aston Villa, Newcastle and Monaco.

Full story: Manchester Evening News

However, City will allow Lescott to join either Tottenham or Newcastle on loan.

Full story: Daily Mail

Sunderland striker Steven Fletcher, 26, is interesting Celtic and Hull City and is rated at £4m.

Full story: Daily Record

Newcastle have made a £4m move for Montpellier’s French winger Remy Cabella, 23.

Full story: Daily Telegraph

Swansea will attempt to take Liverpool’s England winger Raheem Sterling, 19, on loan if the Reds are able to sign Egypt winger Mohamed Salah, 21, from Basel.

Full story: Daily Mirror

Chelsea are interested in Basel’s Switzerland defender Fabian Schar. The 22-year-old has also been tracked by Arsenal and Manchester United.

Full story: Inside Futbol

Manchester United manager David Moyes will allow Dutch left-back Alexander Buttner, 24, to join Turkish champions Galatasaray and midfielder Nick Powell, 19, is set to stay on loan at Wigan despite interest from Swansea and Hull.

Full story: Daily Mail

Stoke could sell Honduras midfielder Wilson Palacios to Real Betis for £500,000, having signed the 29-year-old for £6m in 2011.

Full story: Daily Mirror

Southampton’s 18-year-old full-back Luke Shaw, who is a transfer target for Chelsea and Manchester United, has indicated he wants to stay where he is rather than chase a big-money move in January.

Full story: Daily Telegraph

Nottingham Forest are preparing another offer for 26-year-old West Bromwich Albion midfielder Graham Dorrans - having failed to sign the midfielder before the Football League loan deadline at the end of November.

Full story: Nottingham Post

Derby County are set to sign Tottenham’s 26-year-old midfielder Simon Dawkins in a deal worth up to £500,000.

Full story: Derby Telegraph