Sam Allardyce has said that he is now looking abroad for January transfer targets, due to the prices he has been quoted for Premier League players.
Crystal Palace had a bid for Sunderland left-back Patrick van Aanholt rejected last week, the Dutchman a key part of the side that escaped relegation under Allardyce last season.
The Black Cats are known to have knocked back a bid from another club for the 26-year-old, but it now seems unlikely that the Eagles will revisit their interest.
Allardyce wants to sign another left-sided player but it will not be from the Premier League. He has already spent £12 million signing Jeffrey Schlupp from Leicester City, and is thought to be trying to sign Patrice Evra from Juventus.
Allardyce says he would expect any of his other Premier League targets to command a fee well in excess of that paid for Schlupp.
He said: "We're still searching for players. We've exhausted this country, we're more looking at the European element now, because of the vast cost of the players in this country. They're a really big price.
"Someone said to me 'You spent a lot of money on Schlupp'. It's not really: it's very little compared to what everybody else is spending and valuing their players at.
"He's actually quite cheap compared to what we've been quoted for other players. It's expensive on where we've been before but not expensive in the market.
"He brings a lot of energy, experience for such a young man. He experienced a Premier League-winning run last year. Can play in three positions - wide left, wing-back or left-back - that could be important in a small squad.
"He was desperate to come, desperate to leave Leicester even though they're champions."
Allardyce has also revealed he is close to signing Arsenal full-back Carl Jenkinson, saying: " I think that's (down to) negotiations between the chairman and the player's agent.
"While we appear to have an agreement with Arsenal, that agreement with the player hasn't reached a conclusion, so that's hanging in the balance, as we say."
Allardyce also opened up on the process of signing players in January. The former Black Cats boss signed Wahbi Khazri, Lamine Kone, Jan Kirchhoff and Dame N'Doye this time last year as he lifted the side away from the bottom three.
He said: "From my point of view, there would be many contacts made by the chairman, myself, to agents on whether these players are available, whether they want to come or whether they don't.
"And then of course it's very good if that player wants to leave, for that to get released to all the papers, to all the radio stations, in case a better club pops up and they've got more options to choose from."