By mid-October, the Sydney Roosters' reported proposal for Sam Walker had climbed to $1.3 million a season, with clauses potentially lifting it to $1.5 million through 2031.
The club withdrew its contract extension offer on Monday evening after failing to agree terms with the 24-year-old halfback's management.
In August, Walker had been offered a four-year extension worth a reported $1.1 million annually. The Roosters' eventual proposal was described as a club-record offer.
The club said its recruitment and retention decisions were intended to preserve a Premiership-winning roster and support the squad's long-term success.
Walker is now expected to play out the final year of his current deal in 2027, when rival clubs can begin negotiating with him from November 1.
The development follows Walker's Kangaroos Test debut. It came hours after the Canberra Raiders announced they had withdrawn their multi-year offer to Hudson Young.