The Warwickshire opener, who scored 3,637 runs at an average of 40.41, reached his century of caps during the World Cup earlier this year.

"I've been thinking about it for a while," he told Sky Sports 2.

"I was desperate to play in the World Cup having missed out on the last one, but I've got other challenges ahead of me, it's nice to spend some time at home and at Warwickshire."

With Nasser Hussain stepping down as one-day captain, Andy Caddick retiring from the one-day internationals and Alec Stewart nearing the end of his career, England face a rebuilding process ahead of the next World Cup.

Knight also revealed he is to undergo an operation.

The left-hander has been troubled by a growth in his right knee since his last one-day international appearance against Australia in the World Cup at Port Elizabeth on March 2.

He will undergo surgery after playing in this week's County Championship match against Surrey at The Oval.

Knight said: "I have been struggling with it for some time and can't carry on without an operation.

"It needs doing but it shouldn't be too serious and hopefully I will not miss more than two weeks' cricket."

Knight feels he has made the right decision given he will not be around in 2007.

"There is an incredible amount of talent in the game, it's four years before the next World Cup, I'm not going to make it, so it's a chance for other guys to make it," he added.

England chairman of selectors David Graveney said: "It's sad for the England set-up but I can understand his reasoning. He's been a fantastic servant for one-day cricket and it's a big hole to replace.

"It was a surprise but you have to respect players' decisions in these situations."