Tottenham will not appoint Paulo Fonseca as their new manager, after talks with the former Roma boss broke down due to financial issues.
According to Sky in Italy, Spurs had verbally agreed terms with Fonseca over a two-year deal with an option for a further year, but could not close the deal due to fiscal problems.
Gennaro Gattuso, who left Fiorentina on Thursday only 23 days after having signed on as manager, is now a leading candidate for the job.
Spurs are still looking for a replacement for Jose Mourinho, who was sacked by Spurs in April, just days before their appearance in the Carabao Cup final against Manchester City.
The team was led on an interim basis by Ryan Mason for the remainder of the season, with the former Spurs midfielder helping them to qualify for the inaugural Europa Conference League.