Elliott set to stay with Raiders

Canberra coach Matthew Elliott is almost certain to remain in the nation's capital beyond this season after turning down a deal to join NRL rivals Newcastle in 2007.

Knights chief executive Ken Conway has confirmed Elliott has rejected the club's three-year offer to replace outgoing coach Michael Hagan, who will take over from Parramatta coach Brian Smith at the Eels next year.

Conway says he wasn't surprised by Elliott's decision, saying the Knights were always facing an uphill battle to lure him away from the Raiders. Elliott will now sit down with Raiders chief executive Simon Hawkins on Monday to work on a new deal to extend his stay in Canberra.

Parramatta assistant coach Peter Sharp and Newcastle Premier League coach David Fairleigh are now believed to be the frontrunners to take over the reins at the Knights from next season.