The Potters central defender has been watched by former club Manchester United as well as Liverpool.
But Shawcross is opting to stay put at the Britannia Stadium and has agreed a £25,000-a-week deal.
It will end speculation that the England Under-21 central defender will move to a top-four team in the January transfer window.
Shawcross will sign an extension to his existing contract within the next few weeks.
The 22-year-old has already told Stoke that the deal will go through and it will come as a huge relief to manager Tony Pulis.
The Stoke chief feared he would lose the club's best player to one of the big boys.
United still have first option to re-sign the defender for a fixed fee of £5million as part of a move to ward off interest from Premier League rivals.
Liverpool were among a number of other clubs keen on the rugged centre-half.
But he can only leave Stoke if United pass up the option to re-sign him.
Shawcross initially moved to the Britannia Stadium on loan from Old Trafford.
But the Stoke switch was made permanent with a £1million deal in January 2008.
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wat a clause as a united fan, the option to buy a decent defender for only 5mill wit the likes of rio not up to par is music to my ears potentially a great bita business
By Shane.. Posted November 15 2009 at 4:29 PM.