Before the tournament Prime Minister John Key joked he'd give McCaw a knighthood if the team won the Cup, but it was no longer a joke.
He was serious about the offer but McCaw had turned it down:
"In the end, the conclusion that he drew was that he would love to take it but now wasn't the right time,'' Mr Key said in an interview on Radio Sport this morning.
"He made the call that he's still in his playing career and it didn't feel quite right for him, that day where he's no longer on the pitch may be the right time for him.''
He said there was no formal offer made in the end.
"We didn't formally get to offer it to him in the sense that we knew if we offered it he wouldn't take it, but had he shown indication that he would've then we certainly would've offered it to him, I certainly wanted him to take it.''
But Mr Key believed McCaw would be among the country's knights one day.
"I have no doubt if we're the government or whoever is the government at that point will go back and talk to him but it won't be happening on January 1, 2012.''
He said a lot of New Zealanders would respect McCaw for his decision and sports commentators today said it was the right call.
"I think it's hugely admirable. I think it epitomises the New Zealand hero,'' said veteran sports broadcaster Murray Deaker, who compared McCaw to other New Zealand greats such as Sir Edmund Hillary.
Crusaders coach Todd Blackadder agreed.
"I think it's a good thing. He's still got a three years on his contract, imagine all his teammates calling him Sir Richie,'' he said.
