The 44-year-old announced his decision following the Catalan club’s 5-3 home defeat to Villarreal on Saturday.
The result leaves Barcelona fourth in LaLiga, 11 points adrift of surprise leaders Girona.
Xavi, who made over 750 appearances for Barça as a player, has won two trophies as a manager with the Blaugrana. The 2010 FIFA World Cup winner lifted the LaLiga and Supercopa de España titles during the 2022/23 campaign.
Xavi said: “I want to announce that on June 30 I will no longer continue as the coach at Barça.
“I think the situation needs to change course, and as a culer [Barcelona fan], I cannot allow the current situation.
“And mostly as a cul, thinking about the club and about the players as well, I think they will feel more free, they will be calmer. I think we play with too much tension. It's for the benefit of the board, of the club.
“As a cul, as a club person, I believe the best thing is to leave on June 30. Of course, I will give all I have in the four months that are left.
“To explain a bit better, the feeling of being Barça coach is unpleasant, it's cruel. You feel that often there is a lack of respect, you feel they do not value your work, and this wears you down terribly.
“It affects your mental health. I am a positive person but the energy goes down to a point where you think that there is no sense.”
Here are the current favourites – including Brighton & Hove Albion head coach Roberto De Zerbi – to succeed Xavi according to Sky Bet.
![Xavi has confirmed he will stand down as FC Barcelona manager at the end of the season. Here are the current favourites to replace him according to Sky Bet.](https://www.sussexexpress.co.uk/webimg/b25lY21zOmJhYzE4ZGI3LTg5Y2UtNDgzZi05OTRlLTVlMmExN2M3ODYwYzplZjY5YjAyMi1jZGJjLTRkOWEtYjVmMC1jNjVlMzQ0NmRkYjc=.jpg?crop=3:2&width=800)
1. Next Barcelona manager: Brighton head coach, ex-Chelsea boss and former Leeds manager among favourites
Xavi has confirmed he will stand down as FC Barcelona manager at the end of the season. Here are the current favourites to replace him according to Sky Bet. Photo: David Ramos/Getty Images
![Arsenal boss Mikel Arteta is the favourite to succeed Xavi at FC Barcelona. The 41-year-old, who is a product of Barça's world-famous academy, is priced at 1/2.](https://www.sussexexpress.co.uk/webimg/b25lY21zOjllYmM5ZWZjLWJiYzItNDBlYi05Zjk1LWMyYWM0Y2YxZGQxMzpkMmIyMTllZS05N2ZmLTRkMTItODRiZC0zNTMzYjdlZDhlOWY=.jpg?crop=3:2&width=800)
2. Mikel Arteta
Arsenal boss Mikel Arteta is the favourite to succeed Xavi at FC Barcelona. The 41-year-old, who is a product of Barça's world-famous academy, is priced at 1/2. Photo: Stuart MacFarlane/Arsenal FC via Getty Images
![Jürgen Klopp is the second-favourite to succeed Xavi at 5/1. The German will step down as Liverpool manager at the end of the current season](https://www.sussexexpress.co.uk/webimg/b25lY21zOjZmYzEyNzM1LWZmOGYtNDVmZC04YzUzLTc4MzM1ZjAyYTA5NDpkMzI5ZWY5ZC1iMTE3LTRhNDAtODc0Mi05OGQyNTZiNjhhYzY=.jpg?crop=3:2&width=800)
3. Jürgen Klopp
Jürgen Klopp is the second-favourite to succeed Xavi at 5/1. The German will step down as Liverpool manager at the end of the current season Photo: Clive Brunskill/Getty Images
![José Mourinho is joint-third favourite at 6/1. The Portuguese icon, who worked at Barcelona as a coach under Sir Bobby Robson and Louis van Gaal from 1996 to 2000, was most recently in charge at AS Roma. Roma announced on January 16 that they parted ways with Mourinho with immediate effect following a negative string of results.](https://www.sussexexpress.co.uk/webimg/b25lY21zOjExZGZlYWIzLTMzYWYtNDMyZS1iYmFlLTlhODQ0NzA5YmYyMTplYWMzMTg0YS1jMTM4LTRiYTgtOTViZi03YTM2ODYwNTBhODY=.jpg?crop=3:2&width=800)
4. José Mourinho
José Mourinho is joint-third favourite at 6/1. The Portuguese icon, who worked at Barcelona as a coach under Sir Bobby Robson and Louis van Gaal from 1996 to 2000, was most recently in charge at AS Roma. Roma announced on January 16 that they parted ways with Mourinho with immediate effect following a negative string of results. Photo: Paolo Bruno/Getty Images