The 43-year-old has won three Derbys, four Irish Derbys and five Gold Cups since landing his first winner, Chicago Style, at Limerick in 1987.
"The training side of things is getting bigger all the time and I wasn't happy giving the riding 50% and the training 50%," said Murtagh.
"It's the right time to call it a day and put everything into the training."
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