Martin O’Neill has agreed to sign a new 12-month rolling contract to manage Scottish champions Celtic.

The former Northern Ireland international has been linked with several high profile jobs in England – most notably as successor to Alex Ferguson at Manchester United – but has opted to stay at Celtic Park.

“I am delighted with this agreement,” O’Neill said.

“With so much to look forward to this season both domestically and in the last 16 of the UEFA Cup, I am hoping that the winter break has renewed everyone’s appetite for the challenges ahead.”

“Having experienced (UEFA) ChampionsLeague football last season, this is something we would very much like to be involved in again and this will be high on our agenda for next season.”

Celtic chief executive Ian McLeod added: “The board of Celtic Football Club are extremely pleased that Martin has agreed to this new contract and that the speculation surrounding his future at the club has been brought to such a positive conclusion. We are now looking forward to continuing our recent successes on the field as we maintain our challenge both at home and in Europe with Martin at the helm.”

O’Neill has been manager of Celtic since June 2000, helping the Glasgow side break arch-rivals Rangers, dominance of the Scottish Premier , by winning successive Scottish championships.