Arsenal were dealt a major blow in their summer transfer plans when Luis Suarez told Uruguayan media that he was staying at Liverpool for a further season.

The Gunners were thought to be in pole position to land the controversial striker after Suarez confirmed he wanted to leave Liverpool while accusing the club of reneging on an agreement to let him go to a Champions League club.

However, after receiving a nice ovation during Steven Gerrard's testimonial, it seems to have changed Suarez's mind and the Liverpool man has confirmed he will stay at Anfield after all.

"For now, due to all of the people's affection (for me), I will be staying," Suarez told Uruguayan newspaper El Observador.

Uruguayan journalist Martin Chaquero also claimed Suarez had told him he will stay with Liverpool this season.

"Luis Suarez confirms to me he will not leave Liverpool. The support of the fans has influenced his decision," Chaquero said.

"Suarez see it as likely that he'll sign a renewal (extension) to the contract that binds him to Liverpool.'

Chaquero later tweeted: "Sources close to Luis Suarez have confirmed his decision to stay at Liverpool."

This decision will come as a major blow to Arsene Wenger who was hoping to make Suarez his marquee signing of the summer.

Having let Gonzalo Higuain move to Napoli in the hope that he can land Suarez, the Arsenal manager is now left with very little option in the transfer market when it comes to a buying proven world-class striker.

Wayne Rooney is still an option, but it is looking likely that the England international will also stay at Old Trafford with Manchester United refusing to sell their player to a club in the English Premier League.

Having promised big signings earlier this summer, Wenger and Ivan Gazidis will be under tremendous pressure to pull a couple of rabbits out of the hat, otherwise it looks like it could be a long season for everyone involved with the club, especially the fans.