Hodgson intends to play him in the qualifiers against Moldova and Ukraine next month, with selection against Poland and Montenegro dependent on form.
"The competition for places is getting stronger. If I go back a year, or even six or seven months, we are getting a little bit stronger. And Joe's place is as open to competition as anyone else's. I can't give guarantees.
"I hope I am not the type of guy who chops and changes at every mistake. But I will be watching him closely in the coming games and hopefully he will produce a few wonder games for City."
Hart's only three clean sheets in his past 11 England matches.
"The important thing for Joe is to get a good start to the season with Manchester City. We still believe in him. The first thing he said to me was to apologise for letting in the goal. It is not a perfect world. Good players make mistakes. People you wouldn't dream of missing a goal chance miss tap-ins and goalkeepers who are very good throw them in.
"But I would contest he doesn't have competition. Ben Foster is a good goalkeeper and we have the experienced [John] Ruddy back as well. Jack Butland had nothing to do [for the England Under-21s against Scotland] but he has talent as well. We might not have 20 other goalkeepers but we have a good four or five."