Deputy national security advisor, Dina H. Powell, will step down early next year, the White House said on Friday.
Colleagues say Powell has been a prominent member of the camp affiliated with Ivanka Trump and Jared Kushner.
Kushner said on Friday that Powell "has done a great job for the administration and has been a valued member of the Israeli-Palestinian peace team."
He added: "She will continue to play a key role in our peace efforts and we will share more details on that in the future."
"Dina Powell has been a key, trusted adviser in this administration," said the press secretary, Sarah Huckabee Sanders. "She has always planned to serve one year before returning home to New York, where she will continue to support the president's agenda and work on Middle East policy. She will serve in the administration until early next year."
"She is one of the most talented and effective leaders with whom I have ever served," McMaster said. "All of us look forward to continuing to work with her, as she continues to support this administration's efforts on Middle East peace and other issues."
Her influence extended at times beyond the national security issues that normally would be under her purview, and her name was floated at points as a potential White House chief of staff.
But her family had remained in New York while she worked at the White House and friends have said the job and the struggles within the West Wing have worn on her.