The academy graduate has already made four appearances in the first team, two of which came off the substitutes' bench in 2019-20 Premier League fixtures.
However, the presence of Harry Kane means that his development has taken place elsewhere, the 20-year-old spending loan periods in League One with Ipswich Town and MK Dons.
Parrott enjoyed the most productive campaign of his career in 2021-22, contributing a total of nine goals and six assists as MK Dons challenged for promotion to the Championship.
Although his loan side missed out on a place in the second tier, football.london claims that Parrott will most likely find himself playing in that division next season.
The report says that both Parrott and Spurs head coach Antonio Conte agree that he should spend another year away from Spurs before trying to earn a spot in the senior squad in 2023.
As well as Kane in a central-forward role, other high-profile names in the final third would ensure that the prospect would only be limited to substitute appearances should he remain in North London.
Instead, it appears that the youngster will be given the chance to build on his game time for the Republic of Ireland with one goal and one assist coming from three starts in the UEFA Nations League.
Both of those contributions came during a 3-0 win over Scotland, while Parrott also played 80 minutes as his nation earned a 1-1 draw with Ukraine on Wednesday night.
In terms of next season, it is claimed that Middlesbrough, Preston North End, Queens Park Rangers and Swansea City are all monitoring the situation.
Boro boss Chris Wilder made use of the loan market in January, bringing in Arsenal's Folarin Balogun and Brighton & Hove Albion's Aaron Connolly, but both forwards have since returned to their parent clubs.
The same applies with Preston North End who benefitted from the emergence of Aston Villa loanee Cameron Archer, his performances leading to a call-up for England Under-21s.
Andre Gray and Charlie Austin will be missing from the QPR squad next season, forcing new head coach Michael Beale to enter the market for at least one new striker.
While Swansea already have competition in the final third with Joel Piroe and Michael Obafemi contributing 34 goals between them last season, the latter theoretically may be sold to a bigger club if the Welsh side receive a bid which meets their valuation