Health secretary Sajid Javid also confirmed guests will be refunded for the days they have not used.
The move comes after the UK government removed all 11 countries from the red list on Wednesday (15 December).
On Tuesday (14 December), Javid said the Omicron variant had become so prevalent in the UK that the red list and quarantine rules were no longer effective.
According to the BBC, hotel guests will be allocated time slots to leave, organised by floor, from 4pm onwards on Wednesday (15 December).
People have been advised they are required to stay until formally told they can leave and guests will be asked for details of their onward destinations for track and trace.