The club have ended contract negotiations with the French full-back who is now expected to join League Two side Luton Town.

Gnakpa's one-year deal at London Road expires in the summer. Posh boss Darren Ferguson claimed the move is based on a superior financial offer.

Ferguson said: "Claude will not be with us next season. He has decided he wants to join a League Two club for about tuppence more a week.

"It's not a decision I understand. We made Claude a good offer, but at the end of the day it's up to him.

"To be fair to him he's done well for us so I wish him the best of luck."

Gnakpa moved to Posh last summer after impressing at the pre-season training camp in Marbella.

He made 32 first-team appearances and emerged as a powerful, pacy right-back.

It was reported that Gnakpa had made wage demands which would have seen him become the third highest player at the club.

Gnakpa was booed by some fans as he collected his League Two runners-up medal from chairman Darragh MacAnthony after Saturday's final match of the season.