Warnock worked a miracle last season to keep the Terriers in the Championship and was then convinced to stay on into this season.
The experienced boss though was left unhappy with the budget he was given in the summer and the lack of signings.
Warnock has now had enough of the situation and, following talks with American owner Kevin Nagle, is leaving.
The manager will take charge of Wednesday’s game against Stoke City, but then he will depart Huddersfield.
Huddersfield are already in the process of searching for a manager to come in and replace Warnock.
Several names have been suggested to Huddersfield, with a host of managers prepared to answer the call.
Huddersfield beat Rotherham United 2-0 in the Championship on Saturday and all eyes will be on whether Warnock can now sign off win a win against Stoke City.
