Premier League new-boys Luton had lodged an official approach for the Baggies No.1 over the weekend and Palmer was subsequently left out of the 4-3 friendly defeat at Bolton as Albion considered the bid.

The offer, understood to be from Championship play-off winners Luton, was initially considered as it was a full cash up-front offer as opposed to a fee paid in instalments.

The Express & Star understands the Hatters’ bid for the 26-year-old was higher than the £2.5million-£3million reported in places.

But, with head coach Carlos Corberan fully involved in discussions with managing director Mark Miles and head of football operations Ian Pearce, the move will now no longer go ahead.

The update comes as a big boost for Corberan and Albion, who faced the prospect of losing their first choice goalkeeper on the eve of the Championship season, with the Baggies under way at Blackburn next Saturday.

Albion have already sold Dara O’Shea to Burnley for £7m this summer and, as reported, that figure helped give the club more power to negotiate in subsequent deals