Manchester United Transfer News: Latest on Neymar and Renato Sanches Rumours

Manchester United target Neymar is reportedly set to sign a new contract with Barcelona, which will come complete with a €220 million (£173 million) release clause. Plus, the Red Devils have lost out to Bayern Munich in the hunt for Benfica's Renato Sanches. 

According to Spanish newspaper Mundo Deportivo, Neymar's release clause is set for a €30 million (£23.6 million) increase, meaning United would be expected to fork out more than twice the current world transfer record to sign the Brazilian (h/t Football Espana).

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As if Neymar's existing release clause wasn't pricey enough, speculation of an increase will only put the Selecao ace even further outside United's reach.

Manager Louis van Gaal is in search of a new weapon to inspire his lacklustre attack force, but Italian daily Gazzetta dello Sport reported cash-rich Paris Saint-Germain will also contest for the 24-year-old's services (h/t Andrew Richardson of the Sun).

As talented as Neymar is, one must also draw a line and decide where Neymar's impact no longer matches up with his price which, given the alleged new value of his release clause, is a major factor in any deal.

There's also the matter of the Brazil hitman potentially not being available for the start of the European season after opting to represent his country in this year's Rio Olympics, per Sky Sports correspondent Paulo Freitas:

It's been alleged Neymar's tax fraud concerns could lead to a Spanish exit. In March, Brazilian newspaper Folha de S. Paulo reported the forward was told to pay the Brazilian authorities €45.9 million in "fines and back-taxes" for unreported earnings (h/t ESPN FC), but those concerns seem to have simmered.

United have also been disappointed elsewhere after Bayern confirmed their capture of Sanches on Tuesday, via the club's official Twitter account:

United had been linked as long-term admirers of the Eagles' teenage sensation, who will move to the Allianz Arena in the summer after starring as one of Portugal's brightest prospects this season.

Metro's Primeira Liga expert Jan Hagen noted that while the transfer has been valued at €35 million (£27.6 million), it could in fact rise to be worth more than double that figure after bonuses and add-ons:

United may well have been willing to fork out such an extravagant sum for a teenage sensation being tipped to become a European powerhouse following a superb breakthrough campaign in Lisbon.

However, the Red Devils have lost out to one of their thriving continental peers, forcing them to return to the drawing board in search of new market possibilities.