England were knocked out of the tournament at the last-16 stage by Germany in their worst ever World Cup finals defeat.

However, they failed to convince throughout the tournament, finishing second in their group behind the USA on goals scored. Their lacklustre showing against Algeria drew particular criticism.

The lethargic and uninspired performances led many in the media to question Capello’s suitability, with some blasting his team selections and tactics in South Africa.

On Monday, he was told that he would learn his fate within two weeks but since then, he has received public backing from various members of the FA board.

David Sheepshanks, the former Ipswich Town chairman, stated on Thursday that Capello was “one of the world’s best managers” and that “knee-jerk reactions never work.”

Meanwhile, Bolton chairman Phil Gartside, who is also on the FA board, also expressed his support for the Italian.

The unanimous decision to stick with Capello was made by the four-man Club England board on Friday.

The recommendation was ratified by the full Football Association board soon after and means that Capello will stay in the role until after the European Championships in 2012 (England 8/1 to win Euro 2012).

Speaking after the decision to keep Capello, Sir Dave Richards, Club England chairman, said: “After fully discussing our performance we remain convinced that Fabio is the best man for the job.

“He went into the World Cup with a reputation as one of World football’s finest managers and we are confident Fabio will benefit from his first international tournament experience and this will undoubtedly make us all stronger for the Euro 2012 campaign.”

Immediately after England’s 4-1 demolition by Germany, the feeling was that Capello had to go but within 24 hours, he had expressed his interest to remain at the England helm.

As the week progressed, the media turned their ire towards the players rather than the manager and this may have given him a little breathing space.

However, a key reason behind Capello staying may have been the FA’s baffling decision to remove the break clause in his contract.

With the Italian expressing his interest to stay in his post, sacking him would have led to a costly compensation exercise which could have cost the FA dearly.

Roy Hodgson’s decision to join Liverpool rather than hold out for a potential offer from the FA to coach England may also have been a contributory factor in persuading the FA to stand by their man.

Speaking after the decision, Fabio Capello said: “Sir Dave Richards has called me to tell me everyone at The FA wants me to continue.

“I explained it is very important we use the disappointment as a motivation in the future.

“I can assure the fans I am now fully focused on our European qualifying fixtures, starting with the friendly against Hungary in August.

“I am more determined than ever to succeed with the England team.”

Capello’s reputation was enhanced by England’s impressive qualifying record for the World Cup and the Italian will need to repeat this form in order to replace the gloss which has been removed by England’s dismal World Cup.

England are 2/7 favourites to win their qualifying group

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