In February 1948, rumours began to circulate that Carter was to move to Leeds United. Carter was interviewed for the position but there were two stumbling blocks, the length of the contract and Leeds' wish to make the appointment at the end of the season. On 1 April 1948, Carter joined Hull City in a player / assistant manager role for £6,000. He turned down other offers believing he would learn more under manager Major Frank Buckley and Hull City would provide the fastest route into a manager's position. He was appointed player – manager on 23 April 1948 after Buckley's resignation. Carter continued his playing career at Hull City, winning the Division Three North title and reaching the Round 6 of the FA Cup in his first season and buying a young Don Revie. In the next 2 seasons, the side finished 7th and 10th in Division Two. On 5 September 1951, Carter offered his resignation. It was accepted by the directors on 12 September 1951, no reason was given and no discord was apparent. Several clubs expressed an interest in signing him but he continued to train with Hull City, who retained his playing contract, until the directors asked him not to. He maintained his match fitness by playing local amateur football in Leconfield. Following strong public support, although not all the directors were not supportive, he returned as a player with Hull City on 8 December 1951 for the rest of that season before retiring as a player.