Loftus-Cheek, who is one of four long-term casualties at the club, has ankle damage that appears more serious than originally believed.
And on the eve of Palace’s away game against Arsenal, Hodgson said: “He may require surgery. The injury is more severe than we originally thought, or perhaps hoped.
“It hasn’t responded to conservative treatment, rest and massage.
‘In a few weeks we will have to assess it again and will have to ask is there a need for stronger intervention. His treatment is being handled by our doctor and the Chelsea doctor, they are making the decisions.
“We misled you initially by saying all he needed was to miss a couple of games and rest. It hasn’t turned out to be the case.”
Loftus-Cheek has done well for Palace since his loan move from the champions and has been talked up as possibily gate-crashing Gareth Southgate’s World Cup squad for Russsia.
Hodgson added: “We don’t know how long it would take after the surgery to get him fit again.
“I would be very disappointed, surgery or not, if he’s not playing before the end of the season.”
Source : EXPRESS