Alex Ferguson's second in command was lined up to succeed Luiz Felipe Scolari as the new head coach of Portugal and has reportedly made his decision to leave Old Trafford, according to reports in the local media.

The 55-year-old - who has been described as a 'father figure' to winger Cristiano Ronaldo - is believed to have nearly completed contract talks and is ready to sign with the club for four years.

The assistant coach has reportedly been offered a £1.4 million deal by the Portuguese Football Federation to coach his national club.

If Queiroz accepts, his new role would involve master-minding his Portugal's qualification for the 2010 World Cup finals in South Africa and Euro 2012 in Poland and Ukraine.

Yet the news will come as a severe blow to Old Trafford boss Ferguson as the Scot has already been fighting off Real Madrid’s concerted efforts to sign Cristiano Ronaldo.

Only last month the 66-year-old declared he would hope his influential assistant would eventually become his successor at the double-championship winning club.

The Portuguese offer would see Fergie's right-hand man embarking on his third role as a national team manager.

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