The governing Councils of Durham and Newcastle Universities have approved the transfer of Durham’s School of Medicine, Pharmacy and Health to Newcastle University.
It means it will no longer be based at the Queen's Campus in Stockton.
The decision comes after a consultation with staff and students.
Newcastle University say they remain committed to 'long-term investment' in medical education and training on Teesside.
Changes to the programme will start in the academic year in 2017/18 - but detailed timings are yet to be agreed.
Students will be given support during this time.
The Stockton North MP Alex Cunningham says it is 'devastating news'
What is the current situation for students?
Currently both universities deliver programmes in Health; the Pharmacy programme is delivered solely by Durham University; and the undergraduate medical programme is delivered through a partnership between Durham and Newcastle Universities.
Currently, each year, 95 medical students are trained for the first two years at Durham University’s Queen’s campus, Stockton while the other 240 are wholly trained at Newcastle University.
All students spend their final three years placed in hospitals, GP practices and community settings under the management of Newcastle University.
Durham University’s proposed International Foundation College, to be based at Queen’s Campus, Stockton, will offer specialised foundation courses preparing students for entry onto undergraduate courses.