England's Farrell joins Racing 92 casting doubt on international future
Farrell, 32, will miss the upcoming Six Nations as he takes a mental health break from international rugby having captained his country at the World Cup.
Earlier this month, French media had linked Farrell with a move to the Paris-based outfit, coached by former England boss Stuart Lancaster.
The decision is likely to make Farrell unavailable for England as coach Steve Borthwick is unable to select players based abroad.
"Racing 92 confirm the signature of Owen Farrell to their professional men's team," Racing said.
"The international English player has signed for two seasons and will join the squad on July 1, 2024."
Last week Borthwick urged Farrell, England's leading scorer, to make the right move for himself.
Farrell's father, Andy, will coach the British and Irish Lions during next year's tour of Australia.
"Will a player of Owen's calibre be missed if he chooses to play outside of England? Yes, of course," Borthwick said on Wednesday.
"Do I want him in some point in the future to come back (to play for England)? Yes."
"But I also want him to do what's right for him and his family and have the experiences and the memories that he wants to make," he added.
Saracens playmaker Farrell joins a long list of top-level fly-halves to join the club based in the plush western Paris suburbs.
Former New Zealand outside-halves Dan Carter and Andre Mehrtens have spent time with Racing, six-time French champions, and mercurial Scotland number 10 Finn Russell left the club last season after five years.
"There's no need to explain what a player with 112 caps with England and who has won three Champions Cups can bring our squad," Racing president Laurent Travers told newspaper L'Equipe.
"He will obviously help our young players to mature," he added.
Farrell's England team-mate Henry Arundell and South Africa's two-time Rugby World Cup winning captain Siya Kolisi are among the stars already at Racing, leaders of the Top 14 after 12 rounds and qualified for the Champions Cup last 16.
