Despite that strong stance, Silva is believed to still be interested in speaking to Everton about succeeding Ronald Koeman at Goodison Park.
His club are in line to be promoted to the Premier League next summer and lead the Championship standings after taking 35 points from 16 games.
The Portuguese nearly pulled off a miracle by keeping Hull in the Premier League last season before switching to Watford, where he has also started well. They are now languishing in 15th position with 11 points from 11 games.
Silva would be a good option for Everton but the fact he has only signed for Watford just several months ago mean that this deal would be very hard to get over the line.
Watford are determined to keep hold of Silva as they look to build on his promising start to life at Vicarage Road this season and have informed Everton that any approach will not be welcome.
Everton may have to consider other options but will face a battle to convince former England boss Sam Allardyce to take over until the end of the season.
Everton under-23s coach David Unsworth is now in caretaker charge of the club and secured his first win against Silva's Watford before the worldwide break.