The former Anglican Primate announced his resignation as priest-in-charge of St Margaret's, Ilkley, to the congregation yesterday.
It means Lord Hope of Thorner, who became priest in charge of St Margaret's in March last year after 10 years at York, will retire for a second time soon after Christmas.
He had returned to St Margaret's on a part-time basis on September 1 after a debilitating illness, but now feels he cannot continue. "I have really agonised over this decision, but my doctors have made it very clear that to carry on would be injurious to my health," he said.
"So although I do this with great reluctance, I felt I had no alternative. The Bishop of Bradford and the people of St Margaret's have been enormously supportive and understanding.
"It's an excellent parish with some great things going on and I shall be very sad to go, although I intend to continue working a three day week until the end of the year."
Lord Hope, 66, had wanted to stay at St Margaret's until he was 70. But he had bronchitis last winter and has now been diagnosed with another illness. As a result Lord Hope, known as Father David to his parishioners, has found it increasingly difficult to fulfil his duties.
Bishop of Bradford David James said: "David Hope has achieved an enormous amount in a short space of time.
"He has taken the parish forward and helped it look outwards into the community as well as upwards to God.
"I know the parish will be as disappointed as he is at his resignation, but I know they will continue to support the parish priest they have grown to love dearly and respect highly."
David Hope, the son of a Wakefield builder, trained for the priesthood at St Stephen's House, Oxford, where he later became principal.
He was Vicar of All
Saints, Margaret Street
in London's West End before being appointed Bishop of Wakefield, eventually becoming Bishop of London before coming north again to be Archbishop.
Happy times at York included welcoming the Queen and Duke of Edinburgh to the city in millennium year, but he was also there for the Selby train crash, visiting the site at Great Heck three days later and taking part in the memorial service.
Above all David Hope, who comes from an Anglo-Catholic tradition, is known as a "no nonsense" prelate.