David Unsworth has left Burnley after rejecting the offer of a one-year player-coach role at Turf Moor.
The 34-year-old defender has expressed a desire to extend his playing career and becomes a free agent from 1 July.
Clarets boss Owen Coyle told his club's website: "David still wanted to play at the highest level possible and I fully understand that.
"However, we cannot guarantee him a first-team place at Burnley and we made that clear."
I am genuinely sorry to see David go
Burnley boss Owen Coyle
Unsworth, who was born in Chorley, was signed by previous boss Steve Cotterill on a free transfer from Wigan Athletic last August.
Coyle added: "There was an offer on the table that would have meant David taking a significant hit financially.
"But equally it would have given him the opportunity to move into coaching - however after having a chat we have amicably decided on a parting of the ways.
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