The 23-year-old made 27 league starts for the Posh this season but felt he was no longer guaranteed a place in manager Barry Fry's starting line-up.

"Matthew came to see me to discuss his future and, after a long debate, I reluctantly agreed to give him a free transfer," said Fry.

Fry added: "I'd like to thank Matthew for his service to Peterborough ."

Fakenham-born Gill was handed his first-team debut in 1998 and went on to make a total of 167 appearances for the club.