The Venezuelan driver announced his departure via Twitter to his 710,000 followers after weeks of uncertainty, after rumours spread that the annual £20 Million that his sponsor PDVSA gave to Lotus/Renault for Maldonado's seat hadn't been paid due to the fall in oil prices and collapsing economy in Venezuela.
The one time Grand Prix Winner said, "Today with the utmost humility I inform you that I will not be present at the starting grid for the 2016 F1 season, thanks for all your messages of support, passion and concern for my future. I feel very honored with the support of all of you and proud of my professional performance."
The South American's seat had been in doubt for the 2014 season following President Hugo Chavez's death, given that PDVSA is under state ownership.
Despite having a knack at looking for trouble, Maldonado is one of only 74 people to win a Formula One race, having taken the chequered flag at the 2012 Spanish GP in the un-fancied Williams, in what was easily his best race in an F1 car and what looked set to change his public image.
However following the win the South American had a torrid next race in Monaco by getting involved in incidents, crashes and penalties. He didn't score any more points after the win until 10 races later in Japan.
Despite being known as a 'paid-driver' and being unpopular with many fans, who believed that the Venezuelan was only in F1 due to money and not through talent, such blocking drivers such as Nico Hulkenberg to take up the Lotus seat in 2014, Maldonado never failed at providing entertainment on the track.
Pastor Maldonado is set to be replaced by ex-McLaren driver Kevin Magnussen on Wednesday 3rd February 2016.