Lions and England fly-half has signed a new two-year deal with Toulon which will see him remain in the Top 14 until 2013.
The Rugby Football Union recently wrote to players warning them of their reluctance to select overseas-based players after the 2011 World Cup. But Wilkinson’s new deal has thrown his England career into doubt.
After struggling with several injuries, a rejuvenated Wilkinson has flourished. In his first season, Wilkinson racked-up 302 points and helped his side to the Amlin Challenge Cup final that they looked set to win until Wilkinson left the field injured.
Wilkinson has continued his fine form this season and has led Toulon to the top of their Heineken Cup pool.
"I am happy where I am, it fits the bill for me," said Wilkinson last week. "I can understand where they (the RFU) are coming from and what they're saying.
"For me, in my situation at the moment, my main aim is to keep getting better and I made a move [to Toulon] a year-and-a-half ago to try to continue to do that.
"I want to carry on doing that now. I am enjoying the experience and I'm learning a hell of a lot. I owe a lot to these guys."
Wilkinson has toured Australia and New Zealand with the Lions and has amassed 116 points.
"We have always said that players are entitled to play in whatever country they choose,” said a RFU spokesman.
“Our intent is to select from English-based players whenever possible. We don't rule out the fact that in exceptional circumstances that might not happen."