Defoe, 29, has found his first-team chances at White Hart Lane limited so far this season, having only started seven league games and falling behind loanee striker Emmaunel Adebayor in the pecking order, leading to speculation over his future.
These rumours were enhanced by Defoe switching his agent, who reportedly demanded more playing time or a move for the striker.
Liverpool, Sunderland, Newcastle and Queens Park Rangers are all understood to be tracking the player, but Redknapp insists that the England international will stay at White Hart Lane.
"He is on contract here and is a big player for us and is going to be an important player," said the manager.
"He was unlucky the other night. We had two games this week but he did not play against Everton because I went with Rafa [van der Vaart]. But Defoe is an important player.
"He is a good lad. I have taken him everywhere and get on great with him. He gets disappointed, but there is every chance he will play against Wolves. And I would not even consider letting him out on loan."
Spurs currently sit third in the Premier League table, three points behind league leaders Manchester City.