The 34-year-old said: "Representing England has always been a dream of mine and I've been fortunate enough to have enjoyed some amazing highs throughout my Test career. I'm proud of the fact that I've always given my all for England but I feel that this is the right time to leave Test cricket having reached some very special achievements, none more satisfying that retaining the Ashes in Australia. I also feel now is the time to ensure some of the younger players are given an opportunity as we have a wealth of talent pushing for places. I still feel I have a huge amount to offer in terms of limited overs cricket and I'm looking forward to the opportunity to continue leading the Twenty20 squad and playing a significant role in England's ODI team."
From BBC Sport: Paul Collingwood retires with a healthy average of 40.56 - better than Mike Atherton, Alec Stewart, Nasser Hussain and Mike Gatting - and 4,259 Test runs. That puts him 29th in the all-time England list, between Mark Butcher and Robin Smith. He took some of the finest catches among cricketers of his generation, and if he does not bowl in the second innings he will remember his last ball in Test match cricket - it bowled Mike Hussey.
He will be remembered as one of the greatest fielders to have ever played the game, here is a selection of his best catches: