Jordan's Damon Hill has announced that he is to retire from Formula One at the end of the season, ending several months of speculation about the former world champion's future. The 38-year-old, who handed the team its maiden win at the Belgian Grand Prix last year, thanked both the Jordan team and his fans and said that he achieved all he had set out to do in the sport.

"F1 has afforded me many incredible opportunities and I cherish some fantastic memories," he said. "I have fulfilled my ambitions and consider myself very fortunate to have done so."

Team owner Eddie Jordan paid tribute to the driver who helped his team to its best ever season in 1998. "This is a sad, but typically a brave and honest decision by one of Britain's great sporting heroes," he said.

"Damon was a great world champion and a wonderful ambassador for motor-sport worldwide. His results will show that he was one of sport's great winners." Hill began his Formula One career with Brabham in 1992 at the British Grand Prix when he finished 16th. The following year his fortunes improved immeasurably when he replaced the IndyCar-bound Nigel Mansell at Williams and partnering Alain Prost, finished third in the drivers' championship. In 1994 Prost was replaced by Ayrton Senna and following the Brazilian's death at Imola, Hill was thrust into the limelight as William's senior driver. Responding to the challenge, he pushed Michael Schumacher all the way to the final race in Australia only for the season to end in controversy when Schumacher turned his Benetton into Hill's car, forcing the Williams off the track and into a championship second place.

Hill would have to wait for revenge as Schumacher streaked to a comprehensive championship win in 1995, although the following year Hill beat off the challenge of Schumacher and Williams team-mate Jacques Villeneuve to secure his only world championship, having eight wins on his way to the drivers' crown which he secured at Suzuka.

However, Frank Williams deemed Hill surplus to requirements and replaced the Englishman with Heinz Harald Frentzen before the end of the season. Hill then spent a disastrous year at Arrows - memorable only for a sterling drive for second at the Hungarian Grand Prix - before joining Jordan last year.

It looked the wrong decision as the team slumped to its worst ever season start but Hill, partnered by Ralf Schumacher, turned disaster into triumph with a one-two finish at a sodden Spa Francorchamps. A second year with the team seemed to offer unlimited potential, but as soon as the season began rumours of Hill's impending exit from the sport surfaced as he crashed out at the first corner in Australia.

The speculation grew as Hill's Melbourne drama became a crisis as he finished only twice in the following five races. Even a fourth-place finish at the San Marino Grand Prix could not lift the Englishman out of the mire and two weeks later he crashed in Monaco as he pushed to get back from a lowly 17th qualifying position.

An efficient seventh in Spain, achieved with the only passing manoeuvre of the race on Rubens Barrichello, was followed last weekend by an early exit from the Canadian Grand Prix as Hill crashed once again. The news of Hill's departure will further fuel speculation that Eddie Irvine, who again fell out of favour with his bosses this week after revealing details of his contract to an Italian magazine, will replace the Englishman.