Manchester United forward Dimitar Berbatov will be handed a one-year contract extension by the club, according to The Sun.

Berbatov, 31, has continually been linked with a move away from United, with his contract due to expire at the end of the season.

United boss Sir Alex Ferguson has reportedly decided to activate a clause in the Bulgarian's contract, however, keeping him at the club for an additional 12 months.

United will attempt to secure the deal at the beginning of next month and will therefore not consider any offers in the summer below £8m.

Berbatov has nine goals in 18 games for the club this season.