Fully inoculated UK residents arriving in England from amber travel list destinations will no longer have to quarantine from 19 July.
The transport secretary Grant Shapps said arrivals will, however, still need to pay for Covid tests before and after their return.
Shapps told MPs that under-18s returning from amber list places would also be exempt from quarantine.
Travel industry leaders said the change was a “positive step” but called for the amber list to be expanded.
Currently, anyone returning from amber or red list countries must isolate for 10 days, regardless of vaccine status.
Shapps said a full vaccination means “14 days have passed since your final dose of the vaccine” – and only vaccines given by the NHS will count.
“In essence, this means that for fully vaccinated travellers the requirements for green and amber list countries are the same,” he added.
Both Scotland and Wales have said they will consider whether to follow this latest rule change.
The transport secretary went on to say that, from 19 July – which is also the day when most Covid rules in England are due to end – the guidance that people should not travel to amber list countries will be removed.
But he warned “an amber list country could still turn red”, meaning hotel quarantine would become a requirement.
All of England’s 19 July rule changes are due to be confirmed on 12 July after a review of the latest data.