Probably wanted more on his contract after being willing to fcuk off should England come calling, I can't really say whether it's a good or bad move by levy, it's either about loyalty or he's about to sell the crown jewells to Rednapps dismay. Time will tell.
At the end of the day considering the position Spurs were in at Christamas Rednapp fcuked up big style by letting the England job cloud his judgement and it's cost Spurs millions, if that is the reason Rednapp has gone then It'll be interesting to see if any other manager could better him presuming Spurs don't sell their best players first.
On another note what becomes of Rednapp now? because I can't see him going to any other club unless they have money to spend.