It comes as he takes on a new role as Chair of the Derry Port and Harbour Commission.
The Army veteran joined the UUP having resigned from the DUP back in 2021.
Speaking following the announcement Mr McCready said: “From sandbags to humanitarian relief. What an absolute privilege it has been to represent people across the city and district over the last 4 years.
“At times it has been difficult and frustrating work, but at the same time exceptionally rewarding.
“This is particularly true when it leads to transforming someone’s life for the better.
“The long hours, combined with other commitments and future aspirations, have often come at a detriment to family and work-life balance. This has informed my priorities going forward as I accept new challenges.
“I will continue my positive contribution, support and energy to the wider Ulster Unionist Party across the Country.
“I would like to wish my successor the very best following their selection, nomination and co-option as the Ulster Unionists newest addition to Derry and Strabane District Council. They will have my full support and encouragement.”
A spokesperson for the UUP Foyle Association said: “A selection process to replace Alderman McCready will take place early next week. We want to thank Ryan for his commitment, hard work and dedication within the Foyle Constituency and wish him the very best in his new role and look forward to continuing working with him.”