diff --git a/CHANGELOG.md b/CHANGELOG.md
index 11b6aa81..17bd1a42 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -20,6 +20,7 @@ These are the section headers that we use:
 - Added `GET /api/v1/me` endpoint to get the current user information. ([#140](https://github.com/argilla-io/argilla-server/pull/140))
 - Added `GET /api/v1/users` endpoint to get a list of all users. ([#142](https://github.com/argilla-io/argilla-server/pull/142))
 - Added `POST /api/v1/users` endpoint to create a new user. ([#146](https://github.com/argilla-io/argilla-server/pull/146))
+- Added `DELETE /api/v1/users` endpoint to delete a user. ([#148](https://github.com/argilla-io/argilla-server/pull/148))
 
 ## [Unreleased]()
 
diff --git a/src/argilla_server/apis/v1/handlers/users.py b/src/argilla_server/apis/v1/handlers/users.py
index 36cac142..6cfce784 100644
--- a/src/argilla_server/apis/v1/handlers/users.py
+++ b/src/argilla_server/apis/v1/handlers/users.py
@@ -71,6 +71,27 @@ async def create_user(
     return user
 
 
+@router.delete("/users/{user_id}", response_model=User)
+async def delete_user(
+    *,
+    db: AsyncSession = Depends(get_async_db),
+    user_id: UUID,
+    current_user: models.User = Security(auth.get_current_user),
+):
+    user = await accounts.get_user_by_id(db, user_id)
+    if user is None:
+        raise HTTPException(
+            status_code=status.HTTP_404_NOT_FOUND,
+            detail=f"User with id `{user_id}` not found",
+        )
+
+    await authorize(current_user, UserPolicyV1.delete)
+
+    await accounts.delete_user(db, user)
+
+    return user
+
+
 @router.get("/users/{user_id}/workspaces", response_model=Workspaces)
 async def list_user_workspaces(
     *,
diff --git a/src/argilla_server/policies.py b/src/argilla_server/policies.py
index 60561530..49164288 100644
--- a/src/argilla_server/policies.py
+++ b/src/argilla_server/policies.py
@@ -137,6 +137,10 @@ async def list(cls, actor: User) -> bool:
     async def create(cls, actor: User) -> bool:
         return actor.is_owner
 
+    @classmethod
+    async def delete(cls, actor: User) -> bool:
+        return actor.is_owner
+
     @classmethod
     async def list_workspaces(cls, actor: User) -> bool:
         return actor.is_owner
diff --git a/tests/unit/api/v1/users/test_delete_user.py b/tests/unit/api/v1/users/test_delete_user.py
new file mode 100644
index 00000000..0c3b6b58
--- /dev/null
+++ b/tests/unit/api/v1/users/test_delete_user.py
@@ -0,0 +1,82 @@
+#  Copyright 2021-present, the Recognai S.L. team.
+#
+#  Licensed under the Apache License, Version 2.0 (the "License");
+#  you may not use this file except in compliance with the License.
+#  You may obtain a copy of the License at
+#
+#      http://www.apache.org/licenses/LICENSE-2.0
+#
+#  Unless required by applicable law or agreed to in writing, software
+#  distributed under the License is distributed on an "AS IS" BASIS,
+#  WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+#  See the License for the specific language governing permissions and
+#  limitations under the License.
+
+from datetime import datetime
+from uuid import UUID, uuid4
+
+import pytest
+from argilla_server.constants import API_KEY_HEADER_NAME
+from argilla_server.enums import UserRole
+from argilla_server.models import User
+from httpx import AsyncClient
+from sqlalchemy import func, select
+from sqlalchemy.ext.asyncio import AsyncSession
+
+from tests.factories import UserFactory
+
+
+@pytest.mark.asyncio
+class TestDeleteUser:
+    def url(self, user_id: UUID) -> str:
+        return f"/api/v1/users/{user_id}"
+
+    async def test_delete_user(self, db: AsyncSession, async_client: AsyncClient, owner_auth_header: dict):
+        user = await UserFactory.create()
+
+        response = await async_client.delete(self.url(user.id), headers=owner_auth_header)
+
+        assert response.status_code == 200
+        assert response.json() == {
+            "id": str(user.id),
+            "first_name": user.first_name,
+            "last_name": user.last_name,
+            "username": user.username,
+            "role": user.role,
+            "api_key": user.api_key,
+            "inserted_at": user.inserted_at.isoformat(),
+            "updated_at": user.updated_at.isoformat(),
+        }
+
+        assert (await db.execute(select(func.count(User.id)))).scalar() == 1
+
+    async def test_delete_user_without_authentication(self, db: AsyncSession, async_client: AsyncClient):
+        user = await UserFactory.create()
+
+        response = await async_client.delete(self.url(user.id))
+
+        assert response.status_code == 401
+        assert (await db.execute(select(func.count(User.id)))).scalar() == 1
+
+    @pytest.mark.parametrize("user_role", [UserRole.admin, UserRole.annotator])
+    async def test_delete_user_with_unauthorized_role(
+        self, db: AsyncSession, async_client: AsyncClient, user_role: UserRole
+    ):
+        user = await UserFactory.create()
+        user_with_unauthorized_role = await UserFactory.create(role=user_role)
+
+        response = await async_client.delete(
+            self.url(user.id),
+            headers={API_KEY_HEADER_NAME: user_with_unauthorized_role.api_key},
+        )
+
+        assert response.status_code == 403
+        assert (await db.execute(select(func.count(User.id)))).scalar() == 2
+
+    async def test_delete_user_with_nonexistent_user_id(self, async_client: AsyncClient, owner_auth_header: dict):
+        user_id = uuid4()
+
+        response = await async_client.delete(self.url(user_id), headers=owner_auth_header)
+
+        assert response.status_code == 404
+        assert response.json() == {"detail": f"User with id `{user_id}` not found"}