The clubs had agreed a fee for the winger, who yesterday toured Ibrox and visited the Gers' Murray Park training ground.

The 24-year-old, who has a year remaining on his Turf Moor contract, also held discussions with Rangers boss Walter Smith and chief executive Martin Bain.

But Eagles was unable to agree a deal and will now join the Clarets on their tour to Singapore next week.

A statement on Burnley's official website regarding Eagles' decision read: "Chris Eagles has tonight decided a move to Glasgow Rangers would not be in his best interests.

"The two clubs had agreed a fee for the 24-year-old, but he was unable to agree personal terms with the Scottish champions."

The former Manchester United player, who joined Burnley in July 2008, had been the subject of a bid described as "substantial" by manager Brian Laws, who then left the final decision to the player.

Laws, who was open about his desire to retain Eagles' services, had earlier spoken of the reasoning behind accepting Rangers' bid.

He told "Clearly he is a talented player and one I do not want to sell.

"But we have a serious financial offer on the table and with only 12 months left on his current deal we have to be aware that Chris could walk away next summer for nothing.

"I spoke to him yesterday on his way to Glasgow and he promised me he would be back in training as normal this morning.

"He's been as good as his word on that score and that doesn't surprise me because Chris is the consumate professional.

"He is a crowd favourite here and I hope that plays a part in his decision."

Eagles has played 95 games for Burnley since signing from United two years ago.

But Rangers revealed on their official website that the right winger would have to take a cut in wages if he stayed with Burnley because of a clause in his contract triggered by the club's relegation.

Eagles would have become Smith's first paid-for signing for almost two years had the deal come off.