The England midfielder’s contract with City expired last month making him a free agent.
Milner made 203 appearances for City, scoring 18 goals after joining from Aston Villa in 2010 and became an integral member of the side that won the FA Cup, Capital One Cup and two Premier League titles.
He made 32 appearances in the Premier League this season, starting 18 games and coming off the bench on 14 occasions.
He started a further 10 times in cup competitions plus three more from the bench meaning he played in 45 of City’s 51 matches during the 2014/15 campaign, scoring eight goals.
Everyone at Manchester City wishes James all the best for the future and thanks him for his service to the Club.
Watch our for a CityTV feature of James' best moments in sky blue...