Fowler puts family before Glory
The 36-year-old former Liverpool forward scored nine goals in 28 appearances for the club last term but has decided against uprooting his family for another season in Western Australia.
"I have a wonderful and loving family to consider and with the children in school, it's best to keep them settled," he told the club's website.
"I also need to stay in the UK to complete my coaching badges.
"I thank everyone at Perth Glory and in Western Australia for making me feel so welcome and I wish (coach) Ian Ferguson and the players all the best for the coming season."
Known simply as "god" at Liverpool for his prolific scoring record, Fowler played 26 times for England and also had spells at Leeds United, Manchester City, Cardiff City, Blackburn Rovers and A-League club North Queensland Fury.