The announcement was made this morning, with Gerrard stepping down as Al-Ettifaq coach after 18 months in charge.
Al-Ettifaq president Samer Al Misehal said: “First and foremost, we extend our sincere gratitude to Steven for his dedication and hard work during his time with the club. Sometimes things don’t go as planned, but the firm foundations he helped build will guarantee a bright future in the long term.
"He changed the club for the better and that will never be forgotten. This decision is made with mutual respect and in agreement, is in the best interest of both Steven and the club as we move forward.
“While this chapter comes to a close, our work continues. Football never stops, nor does our ambition and we remain fully focused on the challenges and opportunities ahead. With the rest of the season still to play for, our commitment to the success remains unwavering. We trust in our players, staff, and fans to push forward together and we will continue to be fully committed in our efforts to reach our goals.”
Liverpool legend Gerrard also stated: "I want to express my gratitude to the club, the players, the fans, and everyone involved for the opportunity and support during my time here, especially the president, Mr Samer, CEO Mr Hamed and the head of football committee Mr Hatim.
"I express my gratitude for Mr Samer and Mr Hatim from the first day I was warmly welcomed, and I have enjoyed the chance to work in a new country with a different culture.
"So overall, I have learnt a lot and it's been a positive experience personally and for my family as well. But football is unpredictable, and sometimes things don't go the way we want. However, I leave with great respect for the club and the country. I have no doubt that the work being done will bring success in the future, and I wish the team the very best for the rest of the season."