Spurs are struggling to find a replacement for Jose Mourinho after his dismissal a week before their losing Carabao Cup final.
"I've had enough, just give it to Mason and get on with it," said Townsend. "Give it to him for a year, see how he gets on and then reassess next summer.
"If you were going to get a top manager in, fair enough, Ten Hag, Pochettino, Conte, but after Conte turned it down it was clear nobody wanted the job.
"If you're going down to Gattuso, there's clearly nothing else out there.
"So if nobody wants the job, give it to a man in Ryan Mason who dealt with everything well under the circumstances.
"He dealt with all the European Super League fallout, he fronted the Harry Kane fallout on his own and ended the season well with Spurs by getting them into Europe… ish.
"He deserves a fair crack at it and hopefully Daniel Levy does look into giving Ryan another go at it next season."