Tottenham Hotspur striker Kane has been a revelation since forging ahead of experienced Spaniard Roberto Soldado and Togo's Emmanuel Adebayor at White Hart Lane, jointly leading the Premier League scoring charts with 19 goals.
Kane's Tottenham team mate Ryan Mason, another local boy, is also in the squad for Friday's home Euro 2016 qualifier against Lithuania and Hodgson believes it is a sign that clubs are finally offering opportunities to young Englishmen.
"I am pleased people are looking into the problem itself more and more -- how are we going to turn gifted players from academies into top-class footballers," Hodgson told reporters at a news conference on Thursday.
"To be fair to the FA and the Premier League, they are trying all sorts of methods but the bottom line is, will there be enough managers and clubs prepared to take a chance on these players? Or will they always look beyond and go and see what there is in Brazil, Spain and Germany?
"We are being helped by some of the clubs who are starting to turn their backs on so-called big-name foreign players and giving homegrown and young players a chance.
"Tottenham are a good example of that and so are Southampton. Harry Kane is the best talisman for that."
Earlier this week Football Association chairman Greg Dyke said he wanted tough rules in place to ensure more homegrown players like Kane appeared regularly in the Premier League.
Dyke has proposed a minimum number of 12 homegrown players in a top-flight 25-man first-team squad, up from eight.
England captain Wayne Rooney, who has 101 caps at the relatively young age of 29, said Kane has thoroughly deserved his call-up to the senior squad.
"First of all, the season Harry Kane has had is incredible. His first year in the Premier League, the goals he has scored and his performances mean he has deserved his call-up," the Manchester United forward said.
"He is a finisher, as we saw against Leicester. It is great for English football to have someone performing like he is."
(Reporting by Martyn Herman, editing by Pritha Sarkar)
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