The Spanish goalkeeper had interested Paris Saint-Germain and Juventus as his contract at Old Trafford entered its final year. However, after months of negotiation an agreement has been reached.
United confirmed the new contract will keep De Gea at the club until at least June 2023 and there is an option to extend for a further year.
Upon signing the deal De Gea told Man Utd’s official website: “It has been a privilege to spend eight years at this great club and the opportunity to continue my career at Manchester United is a genuine honour.
“Since I arrived here, I could never have imagined I would play over 350 games for this club. Now my future is fixed, all I want is to help this team achieve what I believe we can and win trophies again, together.
“As one of the senior players in the squad, I want to support and lead in any way that I can to assist the younger players, so they know what it means to play here.
“I still feel that I have so much more to achieve at the club and I truly believe that Manchester United can build on the club’s tradition of success and reward our fans for their support.
“I am committed to continue repaying the fans for all of the care that they’ve shown me during the good times and the bad.”
It is expected that De Gea will receive 15 million euros net per season, and depending on various bonuses could be as high as 20 million euros.
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