The Republic of Ireland international has recently been linked with a move away from the DW Stadium, with Newcastle United reported to be interested in the 22-year-old.
"I've said to James that if a Champions League club comes in for him - and he's that good he can play for anyone in that top six - I won't stand in his way," Coyle told The Telegraph.
"I don't want to dismantle the squad but equally there's a moral obligation to do right by the kid. He's been fantastic for Wigan. But we don't have to sell anybody."
Wigan start the Championship season with a trip to Barnsley later today.