The West Bromwich Albion manager will manage the English Premier League club and England in a double role until the end of the season.
He will become full time manager of the Three Lions after West Brom's final match against Arsenal later this month.
Hodgson's first official game in charge of England will come against Norway on May 26.
An official FA statement read: The Football Association is delighted to announce the appointment of Roy Hodgson as England manager.
Hogdson, 64, has won eight league titles and is not new to managing national teams having already been in charge of Switzerland, Finland and the UAE.