Lallana, who had two stints at Southampton, along with spells at Liverpool and Brighton, confirmed the decision in a statement on Wednesday. 

The 37 year-old will remain at St. Mary's, with the club confirming that he, along with Carl Martin, will be a first team coach under Will Still.

Lallana made five starts in the Premier League for the Saints last season as they suffered an immediate return to the Championship. 

The former England international made 283 appearances in all competitions across his two spells at Southampton, scoring 60 goals and providing 47 assists for his team-mates. 

Lallana joined Liverpool from Saints in 2014 in a reported £25m deal, and went on to win the Premier League and Champions League during his time on Merseyside. 

"As I call time on my playing career, I do so with an overwhelming sense of gratitude and pride," Lallana said.

"Southampton… the place where it all started, and fittingly where it ends. It's the club I ultimately owe everything to.

"I'm proud of the playing career I've had and have no regrets about any of it.

"I embrace all the highs and all the lows as they've shaped me into who I am.

"To everyone who made the journey so special, the staff at each club and organisation, the managers and coaches, my teammates, and, of course, the supporters - thank you.

"But most of all, to my own team… my family. My wife Emily, our amazing sons, my mum, dad and sister, thank you for putting up with me and being in my corner through it all.

"I'm excited for whatever the future brings."

Southampton also confirmed that defender Kyle Walker-Peters would leave the club upon the expiry of his contract at the end of this month. 

Walker-Peters appeared 202 times in all competitions for Saints. The club also announced that Joe Lumley would also be leaving.