The 24-year-old started at the heart of Arsenal’s defence for their Premier League opener on Saturday as the Gunners sealed a 3-0 win over Fulham.
Holding has already attracted from Newcastle United this summer but Arsenal pulled the plug on his loan move to St James’ Park earlier this month.
But according to The Sun, West Ham are planning to better Newcastle’s proposal by offering Arsenal a £5m fee to sign Holding on loan for the remainder of the campaign.
The report also claims that West Ham are willing to cover Holding’s wages, which would then free up space for Arsenal to make new signings.
West Ham have submitted a £30m bid for James Tarkowski but Burnley are holding out for a £50m fee.
Meanwhile, Mikel Arteta said after Arsenal’s win over Fulham that he plans to keep Holding at the club this season.
‘I said to him, change your mind because you are not going anywhere,’ Arteta told BT Sport.
‘Now why would I have to let him go? You are already playing so what else do you want?’