Agreed, we can't really afford to be dipping into the bargain bin when our rivals are spending significant amounts to strengthen. If Bale becomes available to us and we pass up the chance to sign him in favour of going for an inferior but cheaper option we seriously need to consider what direction it is we're going in. Bale is the sort of player to elevate your team a level, he can be the difference between getting knocked out in the group stage to reaching the semi's.
That said, it does say in the article he's not shown any willingness to leave Madrid, there would always be a question of motivation hanging over his head. I don't want us to get drawn into having pay silly amounts for any player in the world (£50m for Matic/Perisic for example) however Bale is one of the few exceptions really.