He told the BBC that he had been considering hanging up the boots for quite a few years now.
Webster, who lives in Wollongong, Australia, said he had known for a while that he did not contribute to matches as much as he once did.
Born in Preston, England, Webster moved to Wales in 1948. The former steelworker played for many teams in Welsh leagues in his 20s and 30s, before moving to Australia with his wife and three children in 1981.
He started playing the game competitively at 15.
Friday’s match will be Webster’s final game for Wollongong's Figtree Football Cub against Russell Vale, the league leaders. He’s also retiring as the club's groundsman.
"In my first few years when you're playing, you wake up on Sunday all bruised and it's gone by Monday. Now it's Monday before I feel the bruises and it's the following Saturday until they're gone," he said.
The secret to his longevity had been keeping up with playing, he said.
He intends to watch more of his grandson and granddaughter play football - he had often missed games previously because he was playing himself.
Figtree Football Cub President Mike Dodd said Webster's contribution had been "immense".
Webster is such a legend in the local game that there is even a competition named after him - the Peter Webster Cup.
"Usually you've got to pay for it, or be dead. But I'm not paying for it and I'm not dead so I thought I'll see if I can play in it," he said.