News that the arrival of Arnesen, currently PSV's general manager, is imminent is a crushing blow to David Pleat, employed by former chairman Sir Alan Sugar to act as a conduit between the dressing room and boardroom and to mastermind a strategy for developing young players.
While Pleat has had a degree of success in that role, notably in taking players like Simon Davies, Anthony Gardner and Jermain Defoe to the club, his reputation has been tarnished by a spell as caretaker manager that ended with a fight to avoid relegation.
Chairman Daniel Levy yesterday asked Pleat to stay in a consultancy role, but he would find it difficult to work alongside Arnesen, who has spent 19 years at PSV and was formerly at Anderlecht, for whom he played against Spurs in the 1983 UEFA Cup Final.
Pleat feels that had he not been pressed into becoming the club's caretaker manager in difficult circumstances and had instead continued as director of football, he would not now be faced with the possibility of leaving a club for which he has a deep affection.
Arnesen, who will be on a three-year-contract, told the PSV website last night: 'I am very glad that I will be working at a traditional club in England where I will continue my work as a technical director. 'Tottenham are a club with a lot of history and play in perhaps the best competition in the world.' With Arnesen in place, Spurs must act decisively to resurrect their interest in O'Neill or switch their attentions elsewhere in the ongoing saga of their managerial appointment.
Real Madrid boss Carlos Queiroz, who is expected to be sacked after their final game of the season on Saturday, yesterday emerged as a serious contender, while the name of Hull's Peter Taylor refuses to go away, even though he is a more likely assistant manager.
Tottenham also suffered a blow to their rebuilding plans yesterday when Nottingham Forest rejected their £3.5m bid for Andy Reid. Spurs almost landed the Republic of Ireland midfielder in January but have been told by Forest that their valuation of Reid is nearer £10m.
Reid, 21, has played 107 games for Forest, the club he joined as a trainee, in a five-year career. Last season, he scored 13 goals for them to force an international breakthrough with Ireland.
