Managing director Lee Charnley has placed on record his thanks to 50-year-old Carver after it emerged on Tuesday that he and Steve Stone would be leaving the club.
Charnley said: “After discussions with John, it was mutually agreed that in the best interests of the club moving forward, and to enable the new head coach to build his own coaching team, we would go our separate ways.”
He added: “John loves Newcastle United and no-one could have worked with more passion and enthusiasm than he did.
“John’s connection with the club dates back to 1979, when he joined as an apprentice. John has always put the club first and the recent discussions we had only re-affirmed this.
“He is a man of great character and dignity and will always be welcome at Newcastle United. We wish him every success in the future.”
Carver had hoped to persuade Charnley and owner Mike Ashley that he was the man for the job long term, but a run of only three victories in the 19 Barclays Premier League games for which he was in charge left the Magpies in a grim fight against relegation.
He had been appointed until the end of the season in January after then Derby boss Steve McClaren had turned down the opportunity to succeed Alan Pardew at St James’ Park.
However, McClaren, who was due back in the country following a family holiday on Wednesday, remains the man in pole position, and the club will now look to tie up the formalities as quickly as possible.
For Carver, the task is now to find a new challenge after a desperately difficult few months at the helm of his home-town club.
He said: “It has been a privilege to serve as head coach of this great football club. The fans and the region deserve a successful team and both myself and my support staff worked very hard with the squad that was available to us.
“I would like to thank all of the staff at the club for their dedication, including Steve Stone in particular. I am also grateful to the owner and to Lee Charnley for their support during my tenure.
“I wish the club every success for the future and steeled with the experience of the last six months, I am eager and ready for the next challenge.”
Former England international Stone has also left the club, although goalkeeping coach Andy Woodman remains in post and Dave Watson, who stepped up from his role as Academy Under-18s coach following Pardew’s departure, will return to his previous role.
Charnley said: “I would like to place on record our thanks and appreciation to Steve Stone for his contribution to the club.
“Steve joined us as Academy coach in 2009 before being appointed reserve team assistant manager in July 2010. Steve was subsequently promoted to first team coach under Alan Pardew and latterly, John Carver, for whom he provided tremendous support.”