The 40-year-old, from Heeley Green, was arrested in a dawn raid on Wednesday, October 21 along with a 36-year-old man from Shiregreen, Sheffield and a man and woman from Batley, West Yorkshire.
The Sheffield pair were arrested on suspicion of preparing to commit an act of terrorism - understood to be a plot to join the terrorist organisation ISIS in Syria.
Police bailed the younger Sheffield man and the West Yorkshire suspects earlier in the investigation but detectives were granted a warrant to continue questioning the 40-year-old city man.
A spokesman for the North East Counter Terrorism Unit, which was behind the arrests, announced last night that the suspect has now been released without charge.