Carlo Ancelotti is Everton’s new top choice to replace Marco Silva as manager after the Italian was sacked by Napoli on Tuesday night.

Arsenal could provide strong competition to the Merseyside club in their pursuit of Ancelotti, who was dismissed despite securing Napoli's place in the Champions League last 16 with a 4-0 win over Genk.

Everton had been in talks with Vitor Pereira over a 2½-year contract to succeed Silva, but he decided to rule himself out after receiving a counter offer from his Chinese club Shanghai SIPG.

Everton are now ready to make an approach to Ancelotti, whose availability could also bring Arsenal into the equation. Mikel Arteta, who is assistant to Pep Guardiola at Manchester City, had been considered the favourite for the Arsenal post.

But Ancelotti’s availability, together with Everton’s plan to offer him their job, will certainly grab Arsenal’s attention.

Ancelotti, 60, is understood to be open to the prospect of a return to England and he may want to gauge the strength of Arsenal’s interest before accepting an Everton offer.