Progressive Conservative finance critic Peter Shurman (Thornhill) announced Tuesday he will resign his seat effective Dec. 31 and will not seek re-election. (CBC)

Progressive Conservative MPP Peter Shurman (Thornhill) has announced he will not run in the next provincial election and will resign his seat as of Dec. 31.

In a statement Shurman thanked supporters and said the decision to resign came after lengthy reflection and discussion with his family.

"Having now carefully considered my situation for several months, I have concluded that continuing with my political career would be a mistake for me."

Shurman served two terms in the Ontario legislature, winning his seat in the 2007 and 2011 elections.

Party leader Tim Hudak removed Shurman as the party's finance critic last fall when it was learned he collected a $20,000 housing allowance after moving to Niagara-On-The Lake while keeping an apartment in Toronto.

Collecting the housing allowance did not violate any rules and Shurman agreed he would stop collecting the housing  allowance and pay for his own rental space while the rules were reviewed.

Shurman said he was considering resigning for a year and said his decision to quit had nothing to do with his demotion from the finance critic post.

Liberal Kim Craitor quit earlier this year, raising the possibility that there could be two byelections in the new year. 

Premier Kathleen Wynne has until March to call the byelection in Niagara Falls to replace Craitor, and until the end of June to call a special vote to replace Shurman.

CBC provincial affairs reporter Genevieve Tomney Tweeted that Shurman's departure leaves "big shoes" to fill for the PC party:

Hudak released a statement Tuesday praising Shurman's work and calling him "one of the finer communicators in the Legislature."

“We wish Peter well in his future endeavours, and thank him for his determination and hard work," said the statement.