The high-profile star of 'Friday Night with Jonathan Ross' and 'Film 2006', as well as a Saturday morning show for BBC Radio 2, had been linked with an approach from Channel Four, which confirmed at the end of April that it had been in talks to hire Ross and 'Strictly Dance Fever' host Graham Norton from the corporation when their contracts expired at the end of 2006.
Ross was also believed to have been courted by ITV, which was understood to have approached the presenter with a £15m deal, outgunning the BBC's £12.5m offer.
Peter Fincham, controller of BBC One, said: "Jonathan is a uniquely talented broadcaster and is at the very top of his game.
"He's one of the defining faces of BBC One and his Friday night chat show is the best in the business. We're all delighted he's staying."
Ross said: "I'm delighted to be staying with the BBC if only because it is the only studio I can drive to without getting lost. It is the best channel in the country, and I'm proud they want me back."
The presenter was recently embroiled in the row over salaries paid to BBC presenters after pay details were leaked from the corporation.
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