While it is understood the position could have evolved into more of a hands-on role in those uncertain times, Gatland did not pursue the opportunity.
"The reason why they wanted me to fly to Sydney because they were also interviewing Robbie Deans who was over there," Gatland said.
"I had a phone call back from there asking would I be interested in talking further about the position but I said I did not want to be stuck in an office, I wanted to be coaching so that was as far as that went."
The RFU ultimately appointed Rob Andrew, the former England first five-eighths and Newcastle director of rugby, ahead of Sir Clive Woodward and Sir Ian McGeechan as the governing body's director of elite rugby.
There are likely to be some within the English hierarchy who would be willing to write a blank cheque now to secure the services of Gatland, who in December 2013 signed a lucrative extension to his contract until after the 2019 World Cup in Japan.
Gatland is totally committed to seeing that contract out, but when asked if the 2007 moment was the last chance he had to return to English rugby, he did not rule out a return one day.
"I loved my time at Wasps, it was absolutely fantastic. They were great people, a great club and a great history and still look back at that time as some of my best experiences in the game.
"I enjoyed the Premiership and I really liked the English attitude and mentality to the game. Maybe at some stage I might go back. I am still a baby. I am only 52. Plenty of time yet."