Gareth Southgate's decision to stay on as England manager has been welcomed by Gary Neville, who believes the Three Lions can win a tournament under his watch.

Southgate said he would take time to consider his future after England's 2-1 defeat against France in the World Cup quarter-finals last week.

That loss represented the latest in a series of near misses for Southgate's Three Lions, who squandered early leads in the 2018 World Cup semi-finals and the final of Euro 2020.

However, Sunday brought confirmation Southgate would remain in post until at least the end of Euro 2024 – his contract expires soon after that tournament – and Neville is pleased with the decision.

"I think it's the right decision," former England right-back Neville told Sky Sports News. "I felt it needed to be dealt with and the fact it has come out overnight is welcome. 

"It puts it to bed, it allows everyone to focus for the next 18 months. If there is going to be a change, it will be after the next tournament; it means a proper succession plan can be put in place.

"It didn't feel right, Gareth leaving, and it also didn't feel like either he or the FA had got anything lined up, either in his own career or for the FA to replace Gareth.

"We've played well in this tournament, we played well against France, I thought we were the better team on the night and that happens in football sometimes.

"I know we always want an autopsy, a scapegoat, someone to blame, but it doesn't really exist for me in this tournament. I think the players, manager and coaches have handled themselves pretty well." 

England won praise for adopting a more positive approach in Qatar than at previous tournaments, with their tally of 13 goals in this campaign their highest at any World Cup or European Championship.

While some have suggested England need an experienced winner to get them over the line, Neville feels the Three Lions have made progress and could win a trophy under Southgate.

"This idea they're mutually exclusive and you can't have what Gareth's brought – which is respect, integrity, good football, good performances – and then win, I don't go along with that," Neville said. "This idea that Gareth Southgate can't win a tournament with England, I don't buy into it.

"We brought in Sven-Goran Eriksson, who was apparently a hard winner, and so was Fabio Capello, coaches who had success at club level, and they didn't deliver anything like what Gareth has delivered with England. Let's put that to bed.

"Over the last 10 years, we've wanted a better team, a more technical team, better performances, getting to the latter stages of competitions, keeping possession... Gareth has done all those things.

"He has made us feel better about playing for England again, getting our players and our game respected around the world. We're in a good place. 

"With the women's success [at Euro 2022], with the youth team success, England have had a really good 10 years. 

"This idea we need to bring in this hard-nosed, killer winner and all of a sudden we'll be okay, I don't buy into it. I played with Southgate, I've known him a long time – he desperately wants to win."