Hodgson, who has been a huge success at Craven Cottage since arriving to mastermind their ultimately successful fight against relegation in 2007, told the Evening Standard that an agreement had been reached.

The 62-year-old former Blackburn and Inter Milan boss' current deal expires at the end of the current campaign and the club have been eager to secure his future.

"It wasn't a difficult discussion," Hodgson told the Evening Standard.

"We are basically in agreement and I've got to say it was very easy to come to that agreement.

"It seems that everyone is keen for me to stay and I've always made it perfectly clear that I'm happy to stay.

"I've never made any secret of the fact that I'm happy at Fulham and I'm enjoying the job here.

"It is just a matter now of putting the contract discussions that we have already had onto paper."

The club have yet to make any statement.