The former Stoke and Crystal Palace manager arrived at the club in January 2015 and led them to a 13th-place finish in the Premier League after they had been in danger of relegation.

In the two seasons since they have finished 14th and 10th.

"I'm delighted to extend my contract because it continues the stability within the club which is essential for its progress," Pulis told West Brom's official website.

"I've said all along that we are in a building phase which requires a step by step process. I think we've seen an improvement all across the club in recent seasons and we must continue that in what is such a tough, tough league.

"Having spoken to [chairman John Williams] at great length over the summer, we know this club has a direction it needs to follow and we are determined to do that.

"We can never underestimate just how important it is to keep our place in a league that is now the most famous and the most followed in the world.

"Neither can we underestimate how difficult that is. You only have to look at the Championship in recent years to remind yourself how many clubs have fallen through the hoop and how many sets of supporters would love to be where we are now.

"We must never take that for granted and continue to commit every ounce of our energy to keeping our club in the division every club in the country wants to be in.

"It's also important that we maintain the development of our young players within the academy.

"I believe that there's a tremendous talent pool in there and if that talent cannot be realised immediately within our own ranks it is vital we get them out into league football to continue their development and education.

"But I do believe in the future of these young players and that's an important part of the development of the club -- especially with the incredible rises we are seeing in prices within the transfer market.

"Managing outside the seven or eight in the Premier League is a tough job but it's one I still relish and enjoy. It's a great challenge but it's important that we maintain stability to tackle it.

"As for the season ahead, we of course want to improve our Premier League challenge and do everything we can to make a strong challenge in at least one of the major cup competitions."