[3] McCarthy became a favourite with the Leicester fans, due to his no-nonsense style of play, and in July 2006 was named club captain for the 2006–07 season.

McCarthy made five appearances in a Bolton shirt, but had to return to Palace after picking up an injury in Wanderers 2–2 draw with Brentford at Griffin Park.

McCarthy signed for newly promoted Preston North End on 3 October on a 93-day loan, and went straight into the squad to make his debut against Sheffield Wednesday on the same day.

In September 2009 McCarthy received a call up by then manager Giovanni Trapattoni for a friendly against South Africa played in Limerick, where he was an unused substitute.

On 2 December 2016, six months after his retirement from playing, McCarthy was appointed under-18s coach at Crystal Palace, replacing Ken Gillard, who left the club in November to join Arsenal.

On 19 February 2024, McCarthy was once again appointed caretaker manager following the resignation of Hodgson,[22] and over-saw his only game, being a 1–1 away draw against Everton that same day.

McCarthy immediately became part of the coaching team for Oliver Glasner who had been confirmed the permanent Palace manager just before the Everton match.