"We promised we wouldn't keep these measures in place a day longer than necessary and it is obvious to me now that border testing for vaccinated travellers has outlived its usefulness," Shapps told parliament.
From 0400 GMT on 11 February, fully vaccinated inbound passengers will only have to verify their status on a passenger locator form, he said. For now, fully vaccinated will not include a requirement to have had a booster jab. Under 18s are treated as fully vaccinated passengers.
Those who do not qualify as fully vaccinated will no longer have to isolate, or take a test on day 8. They will still have to provide proof of a negative Covid-19 test before travelling and take a PCR test after arriving in Britain, he said.
"This is a proportionate system that moves us a step closer to normality while maintaining vital public health protections," Shapps said.
Britain will also add 16 further nations, including China and Mexico, to its list of recognised vaccine certificates.
Shapps said the option for a "red list" of countries would remain in place to provide a defence against new variants of concern, but the government was looking at replacing its managed quarantine system with alternatives such as home isolation.
"These contingency measures will only be applied if we are particularly concerned about a variant of concern which poses a substantial risk, one that is even greater than Omicron," he said.