The 31-year-old has spent his entire career with the North London club, making more than 260 league appearances since breaking onto the first-team scene in 1998.
However, he has suffered from chronic knee problems in recent years, resulting in him being unable to train during the week.
Instead he has had to spend the time recuperating in order to be fit to play on a matchday.
King won 21 caps for his country, and was surprisingly selected for the 2010 World Cup despite his injury problems. His tournament ended after just 45 minutes of England's opening group game against the United States of America.
"I have been here since I was a boy, I have always considered it my club and have always found it hard to imagine wearing the shirt of another team," King said in a statement on Spurs' official website.
"I know that being a one-club man is a rarity these days, but I have always enjoyed being part of the set-up here and the challenge of putting this club up with the elite where it should be.
"I would like to say thank you to everyone at the club and to the fans. I have missed a lot of football over the years, but the Spurs fans have always been patient and incredibly supportive with me during difficult periods. Sadly my injuries and inability to train have now finally brought an end to my career."
King's involvement with the White Hart Lane will not end, however, with the stalwart set to take up an ambassadorial role at the club.
"Ledley has made a magnificent contribution to this club - as a wonderful player, captain and ambassador," said Spurs Chairman Daniel Levy.
"It has been well documented how he has battled against injury over the years and it is testament to the character of the man how he managed to sustain such high standards of performance on the pitch, while providing such fine leadership.
"It is in an ambassadorial capacity that Ledley will continue, playing a crucial role in supporting the club's work in the community and the ongoing regeneration of the Tottenham area, whilst also being a hugely positive role model for our younger players."
More to follow.
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