Palacios has medical at Spurs

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Spurs chairman Daniel Levy agreed a price over the weekend for the 24-year-old before personal terms were negotiated.

It is understood that Palacios had reservations about moving to London from the north west, where he was settled, but has agreed to the transfer.

The deal represents a huge profit for Wigan, who signed him for £1million a year ago.

Latics boss Steve Bruce, helped by a recommendation from Arsenal boss Arsene Wenger, has overseen Palacios' progress after taking the player on loan to Birmingham from Deportivo Olimpo before signing him permanently when he moved to the JJB Stadium.

Manchester City were believed to be interested in Palacios and another Spurs target in Craig Bellamy, with the latter securing a move to Eastlands.

Both are the type of player Redknapp wants to add bite to his squad.

"I wanted Craig and would have loved him here," Redknapp said.

"He's a fighter and wants to win. He also has terrific ability but once City come in it's difficult to compete because they are working another level. We couldn't get anywhere near him."