Xabi Alonso is close to agreeing a new deal at Real Madrid, ending speculation regarding his future, according to Spanish newspaper El Confidencial.

The former Liverpool player is out of contract at the end of the season and a number of reports suggested that Jose Mourinho was keen to bring him to Stamford Bridge.

Alonso was a key man under Mourinho during his time as manager of Real Madrid and the Special One was keen to insert Alonso in to the Blues midfield.

Manchester United were also credited with an interest in Alonso, with the Daily Star even reporting that David Moyes had already started talks with the player with regards to a switch to Old Trafford.

Moyes is keen to find reinforcements for his midfield as new signing Marouane Fellaini struggles to find his feet for the Red Devils.

Juventus were also thought to be considering a battle with the Premier League giants for Alonso when his contract ran out in the summer.

Real Madrid's recent acquisition of midfielder Asier Illarramendi from Real Sociedad, coupled with their reported pursuit of Ilkay Gundogan suggested that Alonso may be surplus to requirements at the Bernabeu.

But after returning from a four month injury layoff, Alonso has walked straight in to Carlo Ancelotti's side and has so far impressed.

Los Blancos are now ready to shelve their interest in Gundogan and offer the 31-year-old a one year contract extension.

With Alonso keen to stay in Madrid, it is likely a deal will be agreed in the near future.

Topics:
Football
Xabi Alonso
Manchester United
Chelsea
Real Madrid