The 60-year-old coach had looked set to swap the south coast for St James' Park and held talks with Magpies chairman Chris Mort over the vacant position.

But despite being offered what he described as a "fantastic opportunity" he took the night to reflect on his future and concluded that he could not turn his back on Pompey.

Reports suggest United had been prepared to hand him a significantly-improved wage and a formidable January transfer budget, but Redknapp believes the relationships he has formed at Fratton Park - with fans, players and staff - are more important.

"It's not all about money. People don't know me but money is not my God. I'm happy, I enjoy it here and I have a great relationship with the fans," he said.

"It would be difficult to sleep at night. You have to look at yourself and say 'the club's been good to me and I've got to pay them back'.

"This is a club I feel comfortable at. I have a fantastic relationship with the fans, a fantastic relationship with the owner and with Peter (Storrie, chief executive.

"When you bring in players - and I signed a lot of good players in the summer with some terrific backing from the owner (Sacha Gaydamak) - some of them could have gone to big clubs. To walk away half way through (the season) is the wrong signal; it's not fair. My heart is with Portsmouth," he told Sky Sports News.

"I had no intention of leaving here. The job now is to take this club forward."

But despite being content with life at Fratton Park, the Redknapp concedes the chance to take over at Newcastle was both flattering and tempting.

"I had a great offer from them and to be offered the chance at a fantastic club like Newcastle was a terrific opportunity for me but at the end of it I couldn't do it.

"The owner (Mike Ashley) seems to me to be the most ambitious guy you could hope to meet and they are good people up there.

"Newcastle is a massive club with great supporters - they get 50,000 every and it's a great job for somebody but I won't be going."

Redknapp denied that his decision shows he lacks the stomach for a challenge and believes his controversial move to Pompey's fierce rivals Southampton in 2004 - and back again - is testament to that.

"The fans have been good to me and I've had to win them back when I left once before. Only a maniac would have done what I done, go up the road and come back again.

"I'm very ambitious, football is my life but my ambitions are all for Portsmouth."

Storrie was delighted by his manager's decision and feels it represents a massive coup for the club as they seek to establish themselves as a fixture in the top half of the Barclays Premier League.

"We're absolutely delighted. We've been in lengthy discussions with Harry, who has now been linked with three top jobs - Tottenham, England and Newcastle,'' he told the club's website, portsmouthfc.co.uk.

"It speaks volumes about his desire to see Pompey succeed that he wants to stay here. Harry feels that he still has a job to do here. We have moved forward tremendously but he feels there is still more that can be done.

"Harry staying has taken a huge wrench away from my stomach."