The chart-topping star revealed the news as he received the Freedom of his native Donegal at a glamorous occasion on Friday in Lifford.
The singer, 50, has been taking things a lot easier after he announced he was taking a break after three decades of performing.
His fans around the world rushed to see the star after he said he would not be playing any more long tours.
But Daniel reassured fans that he never planned to hang up his microphone just yet.
‘When I announced I was planning to take things easier, some people said that I was retiring.
“That was never the plan. I just wanted to take things a little easier after being on the go for so long.
“I’ll be back next year with a full tour of Ireland. I think I have a few good years left yet,” he said.
A genuinely overwhelmed Daniel was surrounded by family and friends including wife Majella and mother Julia, 92, when he became just the fifth person to be presented with the freedom of Donegal.
Daniel joked it was an honour to hear so many good things said about himself which most people would only hear at their funerals.
Among those who said they were sorry they could not make it to Donegal to see Daniel honoured was his personal friend Sir Cliff Richard who sent his apologies.
However one person who was there was the legendary Dublin singer-songwriter Pete St John who penned The Fields of Athenry.
Pete said he travelled to Donegal to congratulate his friend.
“We all only wish we had Daniel’s fan-base. The real reason I came here is to see if he will sing one of my songs,” laughed Pete.