By London correspondent Tony Hughes

Eric Dier is close to agreeing a new Tottenham contract worth £19.5million, Football Insider sources understand.

Spurs approached the defender-turned-midfielder before Euro 2016 about tying him down to a new agreement.

A well-placed Tottenham source has told Football Insider that the club in advanced negotiations with the 22-year-old about improved terms and are confident a deal is nearly in place.

The north Londoners have offered Dier a stunning £19.5million contract in a bid to secure one of their key players to a long-term deal.

This is equivalent to £75,000-a-week and would run until 2021 if, as expected, an agreement can be reached.

The England international has four years remaining on his current £35,000-a-week deal, which he signed last September.

Spurs have been working on deals for several members of their squad, and finally agreed terms on a four-year deal with Christian Eriksen on Tuesday.

Dier had a fantastic 2015-16 season for club and country, proving his versatility and making the holding midfield role his own for both England and Spurs.

The 22-year-old has started all four of Tottenham’s Premier League matches this season, forging a solid central midfield partnership with summer signing Victor Wanyama.

Carlo Ancelotti hailed Dier as one of the best players at the European Championships, after being linked with a move to bring in the Spurs man as Xabi Alonso’s long-term replacement at the base of his new team’s midfield.

Pochettino and chairman Daniel Levy have identified that they need to keep Dier, and are set to reward the Cheltenham-born utility man with a deal that will keep him in north London for another five years.

In other Tottenham news, this is how badly Paul Merson got his Spurs prediction wrong.