The actor's character Paul Clayton - Jack Duckworth's grandson - will flee Weatherfield after setting fire to Leanne Battersby’s (Jane Danson) restaurant.
The chef has been trying to stop the ailing Valandro's eatery going under but finally agrees to torch it for the insurance after Leanne promises to sleep with him.
However, a warrant is issued for his arrest when the plan goes wrong.
The 21-year-old told The Sun: “I’ve loved it on Corrie but I’ve got other things planned.”
But he indicated that he may return to the cobbles in the future, saying: "Paul’s just like his dad Terry and he’ll definitely return to Weatherfield to cause more trouble for his grandad.”
Talking about his exit, he added: “It’s a great storyline - exactly the kind of exit I hoped for.”
A show source said: “Leanne is Paul’s ideal woman. So when she offers him the chance to get into her knickers, he jumps at it.... [But] the police get involved and Paul is determined not to go to jail.”
Viewers will see Paul leave the Street to avoid capture in May. The news comes only days after the announcement that co-star Rob James-Collier (Liam Connor) will be leaving at the end of the year over "typecast fears".
Hudson recently announced his engagement to girlfriend Victoria Milne-Taylor.