Coppell takes a cut in wages to lead Reading in the Championship

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Coppell offered to resign when Reading lost an eighth successive Barclays Premier League game at home to Aston Villa in February.

He had also intended to step down if his team were relegated, which they were on the final day of the season.

Royals seal of approval: Coppell takes the applause from the Reading fans after the last game of the season

Coppell changed his mind after talks with chairman John Madejski but his salary will be cut from £1.2m to £720,000.

The reaction of the Reading fans was a major reason for his U-turn.

They gave him a standing ovation at Derby after relegation was confirmed and hung banners around his parking space at the Madejski Stadium begging him to stay.

"It's not very often that someone who has taken a team down is given the reception I had," said Coppell. "If you'd asked me six months ago what I'd do if we were relegated, then I would have said I'll leave. But the last thing I want is to be remembered for relegation. I want the chance to put it right."

Coppell revealed how he told Nick Hammond, Reading's director of football, he was ready to quit.

"After the eight games I said any other club would have sacked me by now and that if they wanted to get rid of me I'd go," said Coppell. "He said they had confidence in me. Looking back, it might have been misplaced."