The RAF Benevolent Fund said Mr Clark, who served as a radar operator on Beaufighters during the Second World War, died on Thursday.
He was one of two remaining air crew, known as The Few, who took to the skies to defend the UK against attacks from the Luftwaffe, Nazi Germany’s air force, in the Battle of Britain.
The death of Mr Clark, who had celebrated his 101st birthday earlier this year, leaves John “Paddy” Hemingway as the last surviving member.
RAF Benevolent Fund controller Air Vice-Marshal Chris Elliot said: “Our condolences go to Terry’s family and friends at this sad time.
“This news is especially poignant as we remember the bravery and sacrifice of all those who fought for us today, the 75th anniversary of VE Day.
“Terry belonged to a generation of servicemen and women who answered their country’s call without question.
“We owe a debt of gratitude to every one of them and their legacy must be to remember their service.
“John ‘Paddy’ Hemingway is now the last surviving member of The Few and in September we will mark the 80th anniversary of the end of the battle.
“The RAF Benevolent Fund will be paying tribute to those pilots and air crew who ‘gave so much to so many’.
“We honour their memory by supporting the Second World War and National Service veterans who need our help, before it is too late.”