Bale had been subject to rumours of a move away from the club but has committed his future to the north London club until 2016.
“The club is progressing and I want to be a part of that, so it was great to get the deal done,” Bale said.
Tottenham are still without a manager though since the shock dismissal of Harry Redknapp earlier this month.
Redknapp had been in place at White Hart Lane since October 2008 and was widely tipped to be the next England manager earlier this year before Roy Hodgson was appointed.
Former Chelsea manager Andre Villas Boas has been linked to the role.