Lahm, whose contract with Bayern was due to end next year, is now set to remain at Allianz Arena until 2012.

"I'm delighted about it, otherwise I wouldn't have done it, “said the Germany international.

Lahm was strongly linked with Barcelona in recent weeks, as he rejected an initial contract extension with Bayern.

However, the arrival of coach Jurgen Klinsmann in the summer is believed to be a move that persuaded the 24-year-old extend his Bayern stay.