Ipswich Town have terminated the contract of young winger Alex Henshall "by mutual consent", the club has confirmed.

The 21-year-old joined the Championship side on a free transfer from Manchester City in 2014 but failed to work his way into manager Mick McCarthy's plans, making just five appearances during his tenure at Portman Road.

Speaking about Henshall during the last transfer window, McCarthy had said: "He is not going to get in front of the other lads here and it's time he moved on. I've told him that."

Prior to joining City as a youth, Henshall had been poised to sign a deal with neighbours Manchester United but walked out on then-manager Sir Alex Ferguson as he prepared to sign the paperwork.