The fly-half came through the ranks at Wasps but left in 2010 to join Melbourne Rebels for the next Super Rugby season.
Cipriani moved to Sale Sharks in 2012 and re-joined Wasps ahead of the 2016-17 campaign, but he will not be extending his stay at the Ricoh Arena.
The 30 year-old, who earned the last of his 14 England caps in August 2015, will bide his time before choosing the step in his career.
"What I love about my hob is the opportunities, emotions, challenges, and different situations you find yourself in," Cipriani wrote in a statement posted on Twitter.
"Whether they are good or bad, you can learn from them all. The same can be said for achievements or mistakes. They are part of the process.
"Leaving Wasps the first time was hard enough. Now is the time to announce that I'm leaving the club for a second time.
"Sadness will most likely be the overriding emotion come the end of May. But I'm also hoping mixed with the sadness will be a lot of joy, as the job isn't finished yet.
"I'm loving every moment with this squad and can never fault the support of the club's loyal fans!
"You'll get nothing but my absolute commitment from myself and the team for the rest of the season.
"I will take some time to decide my next move. Thank you to the Wasps faithful! Let's go one better this year."
Cipriani has made 137 appearances for Wasps, scoring 808 points and 24 tries.