Dempsey was appointed in September and led Widnes to a mid-table finish, with a return of 30 points in 2022 the sixth best record in the league.
He told the club’s official website: “I’m delighted to have the backing of the Chairman and the Board for next season and beyond.
“I am really excited to get to work and do everything I can to progress the football club on and off the pitch.
“My management team and I can’t wait to get going again and everything is in place for us to continue to build on last season’s performances.”
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