Vardy scored 24 goals in 36 Premier League matches last season as Leicester won a historic league title, and has unsurprisingly attracted attention from traditionally larger clubs as a result of that feat.
Arsenal were the first side to make a move to sign the 29-year-old sensation in a £20 million deal, but after two weeks of consideration whilst away on England duty it was confirmed earlier this week that the striker had rejected the move and would sign a new deal at the King Power Stadium.
That represents a big move on Vardy's part to reject such an established Champions League club, and is also a huge boost for Leicester as they look ahead to a season in Europe next term.
Claridge, who spent two years at Leicester where he won the League Cup, is certain that was the right decision from the England man as he suggested that Vardy could have found himself played out of position and on the fringes at the Emirates.
Claridge told Omnisport, via Goal: "I wasn't surprised. I think it's a mature decision from someone who's seen the other side. He's been played out of position at times at Leicester and he could have been played out of position at Arsenal, Arsene Wenger does that with strikers.
"He will have thought, 'Will I get to play in the right position at a side as good as Arsenal? There's a possibility I'd be a squad player'. At Leicester he is the main man. If he was 22 he would have probably gone, but at 29 he's decided to stay.
"There's always competition and people who want to take your place. He's not starting again somewhere new, moving to London, when at Leicester he knows what he can give the team. At this stage in his life, he is an integral part at Leicester."
Vardy's decision will come as a big blow to Arsenal's summer plans, as they must now turn their attentions to other attacking targets as they look to bolster their frontline ahead of launching another title challenge next year.