Hodgson has fielded one dozen enquiries to take Craig Dawson on loan this week, but has told the England Under-21 international he is going nowhere.
Hodgson said that while Dawson's stock had risen, he needed every available body to remain at the Hawthorns.
"We, as a club, have had plenty of interest, even before he arrived back here from Rochdale where he was on loan last season.
"Even before I had seen him play, people were asking to take him. The answer then was "No," and that remains the case.
"It's more so the case now that I have seen him play and in our environment. I believe he does have a future with us.
"There is no advantage to us whatsoever to loan him out to other clubs.
"We are happy with the players we have got. If others aren't happy, then I'm afraid we don't have the ones to help them out. We need them."