The Premier League champions are hunting for a suitable replacement for Sergio Agüero, who left the club for Barcelona in June after a ten-year spell at the Etihad Stadium.
It was previously confirmed by various sources that City had an initial £100 million bid rejected for the three-time Premier League Golden Boot winner, who made his desire to leave the north London side very public towards the closing stages of the previous campaign, a move which angered Levy, who was adamant on keeping hold of the Spurs talisman past the summer.
It was reported on Thursday that the Tottenham chairman has agreed to sell the 27-year-old to Manchester City for a fee potentially in the vicinity of £160 million, despite previously maintaining that the forward was not for sale.
Following Thursday evening's breakthrough, the expected denial comes from Alasdair Gold of Football.London, who reports that Tottenham have no intention of selling Kane this summer.
The north London side's newly-appointed boss Nuno Espirito Santo spoke on his star player's future in a press-conference last week, and though the former Wolves boss refused to rule out a move, he stressed that he is planning with Kane for next season.
Furthermore, speaking to Football Daily, David Ornstein of The Athletic denied that the Tottenham chairman's mind has taken a U-turn after reports emerged on Thursday suggesting that Levy has agreed to sell the England captain this summer.
He said: "That (the £160 million update) is not my information. Speaking to people of both clubs, it's taken them a little bit by surprise. We know that there's interest from Manchester City, and Harry Kane would like to leave Tottenham.
"But, I don't think there is a change in Daniel Levy's mind. If Manchester City get to the level of £150-160 million, then there is potentially a conversation to be had. But, I'm not sure Manchester City are prepared to go to that level.
"Clearly, Harry Kane may be pushing to leave, and there are surely a lot of conversations going on behind the scenes, but I don't think this one (the Harry Kane saga) is going to get resolved quickly. If it does happen, I think it will be towards the very end of the transfer window."
Ornstein further highlighted that Spurs' reliance on Kane and the lack of realistic replacements for the forward this late in the transfer window could hinder a deal from getting over the line.
He added: "It's a very difficult situation, because Harry Kane is irreplaceable in Tottenham's mind, so the club could bring in a huge amount of money for him, and you could upgrade the team in certain positions.
"But, Tottenham are not going to upgrade the centre-forward role, unless you bring in someone like (Borussia Dortmund's) Erling Haaland, which is not going to happen at Tottenham (for a variety of reasons).
"Tottenham been linked with the likes of (Southampton's) Danny Ings and many wingers, but I think it'll be a very difficult situation if they were to lose him so late in the window without having a chance to prepare for his departure.
"A move (for Kane) will come more and more against Daniel Levy's wishes, because his priority is Tottenham, not Kane, and if he knows that if he keeps Kane, who's under contract till 2024, he'll continue to play well and score goals.
"So, I think that it's more likely that Daniel Levy resists all of Manchester City's overtures and holds on to Kane, but if the money gets outrageously high, potentially there's a deal to be done, and then it will come down to the Tottenham faithful to try and find a solution."
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