Argentina captain Mascherano has been linked with a move to European champions Inter Milan managed by former Liverpool manager Rafael Benitez.
The 26-year-old midfielder did not return Hodgson's calls while on holiday and has indicated that he sees his future elsewhere.
"He wants to leave the club, he made that perfectly clear. I think he wanted to leave a year ago," Hodgson told reporters on Tuesday.
But Mascherano's departure is not entirely clearcut as he still has two years remaining on his contract.
"He wants to leave now but he has a contract and I expect him to honour that contract," Hodgson said.
"I expect him to be a Liverpool player until the day the club chooses to accept an offer for him.
"I shall continue to treat him as a Liverpool player. The mere fact that the player is a little bit unhappy with his situation does not mean he will leave. It disappoints me but it's not unusual."
Hodgson had brighter news regarding Torres who he indicated would remain at Liverpool next season.
Chelsea and Manchester City are keen to sign the Spanish striker and the speculation about his future refuses to go away.
"As far as I know he is looking forward to coming back here. He is back on Monday," Hodgson said.
"He is enjoying a holiday - a well-deserved break as he has not had one for three years.
"He is spending a lot of time with his family, keeping a low profile and as far as I know he is not really speaking to anyone.
"But he has told us that he is looking forward to Monday, looking forward to getting back to work and looking forward to playing for Liverpool next season. That is what I know so other reports, I would suggest, are erroneous."
How to watch Manchester City vs Arsenal: Live streams for WSL match
‘Arsenal’s Class of ’83 would give Man United’s Class of ’92 more than a good game – It’s a scandal that youth team isn’t talked about enough, if at all’: Martin Keown believes the Gunners team he grew up with doesn't get anywhere near enough credit
