FREE universal testing will end from April 1, the Prime Minister told MPs.
Britain's successful vaccine rollout means the expensive testing programme is less important and less valuable in preventing serious illness, Boris Johnson said.
Small amounts of free tests will continue for symptomatic vulnerable people and NHS patients.
And asymptomatic testing in care homes and the NHS will continue without charge.
Mr Johnson told MPs said: "It's only because we know Omicron is less severe that testing for it, on the colossal scale that we've been doing, is much less important and less valuable in preventing serious illness.
"We should be proud that the UK has established the biggest testing programme per person of any large country. This came at vast cost.
"The test, trace and isolation budget in 2020-21 exceeded the entire budget of the Home Office.
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"It cost a further £15.7bn in this financial year. And £2bn in January alone at the height of the Omicron wave.
"We must now scale this back."
From today, guidance for staff and students in most educational settings to test twice weekly will also be removed.
It is not clear how much the tests will cost.
Reports previously suggested that lateral flow tests could cost £30 for a pack of seven.
High-street PCR tests used for travelling currently cost around £65, or £85 for in-store testing. Private clinics charge around £200.
It was among many announcement which mean England will take a giant leap towards normality.
All Covid rules will no longer be written in law within days.
Self-isolation rules for Brits testing positive will also be scrapped from Thursday.
The £500 sick pay handout for Covid-stricken Brits will be dropped on March 24.
Routine contact tracing is also set to go and will not ask fully vaccinated close-contacts and those under 18 to test daily for a week.
The legal requirement for unvaccinated close-contacts will be removed too.
But a cabinet meeting this afternoon to rubber-stamp the move was delayed for hours following a last-minute row over cash for free testing.
Health Secretary Sajid Javid and Chancellor Rishi Sunak previously locked horns over the matter.
Labour leader Sir Keir Starmer said the British people will continue to be act responsibly by testing and isolating if positive.
But added: "I can't understand why the Prime Minister is taking away the tools that will allow them to do so.
"Free testing can't continue forever but if you are 2-1 up with 10 minutes to go, you don't sub off one of your best defenders."
A YouGov poll this month found 83 per cent of the public believe free lateral flow tests should continue to be available.
Boris Johnson announced the end of free testing amid a bonfire of pandemic regulations that restrict public freedoms in England as part of his Living With Covid plan.
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He hailed a moment of pride for Britain as he finally gave people their freedom back.
Ministers previously said future variants are expected to be similar to Omicron in terms of being milder than early mutations.