Australian team doctor Peter Brukner said in a statement released by Cricket Australia on Thursday afternoon that Hughes had died at St Vincent's Hospital. 

"He never regained consciousness following his injury on Tuesday," he said. 

"He was not in pain before he passed and was surrounded by his family and close friends.

"As a cricket community we mourn his loss and extend our deepest sympathies to Phillip's family and friends at this incredibly sad time.

"Cricket Australia kindly asks that the privacy of the Hughes family, players and staff be respected."

Cricketers past and present were inconsolable as they left the hospital.

Shortly after the announcement was made, David Warner, his wife Candice and Matt Wade left arm in arm, visibly emotional.

[Tragedy: Phillip Hughes has died.]

Tragedy: Phillip Hughes has died. Photo: Getty Images

NSW paceman Sean Abbott, who delivered the ball that struck Hughes on Tuesday, was also at the hospital. 

An emotional Australian cricket captain Michael Clarke read a statement at the hospital on behalf of Hughes' family. 

"We're devastated by the loss of our much-loved son and brother Phillip," he said.

"It's been a very difficult few days. We appreciate all the support we've received from family, friends, players, Cricket Australia and the general public.

"Cricket was Phillip's life, and we as a family shared that love of the game with him.

"We would like to thank all of the medical and nursing staff at St Vincent's Hospital, and cricket NSW medical staff for their great efforts with Phillip. We love you."Phillip Hughes

Cricket Australia boss James Sutherland delivered a statement after Clarke.

"This freak accident is now real life tragedy ... Our grief runs deep and the impact of Phillip's loss is enormous. 

"Phil has been taken away from us too soon," Sutherland said.

"It's an understatement to say we're completely devastated. The impact of Phillip's loss is enormous.

"He will forever be remembered as one of the elite few to have worn the baggy green cap, cap number 408.

"In the darkest hours, cricket puts its collective arms around the Hughes family.

"We offer our love and endless support."

 Australian Cricketers Association chief executive Alistair Nicholson said cricketers far and wide had been rocked by the "devastating event".

"Phillip Hughes died playing the sport that he loved amongst those who loved him," Nicholson said.

"His final shot typified his approach to the game - aggressive, positive and defiant.

"Our thoughts and prayers remain with his family and the players."

Induced coma

Hughes, 25, was in an induced coma since the accident on Tuesday afternoon.

Hughes was hit on the side of the head when he attempted to hook the bouncer.

While he seemed to compose himself, the former Test opener leant forward, put his hands on his knees and, after a few seconds, suddenly collapsed head-first on to the pitch.

It was horrific, and the desperation of the moment was reflected by the way the umpires and his former teammates raced to his aid.

Cricket NSW chairman John Warn and chief executive Andrew Jones released a statement expressing their deepest sympathy to the Hughes family.

"The entire NSW cricket community offers our heartfelt  condolences to Phillip's mother and father Virginia and Greg, sister Megan and brother Jason at this most difficult of times," Mr Warn said.

"Their grief is being felt across the country and around the cricket world as the extended cricket family comes to terms with the sad loss of a very popular and talented young player."

 Jones said the NSW players and staff were thinking of Hughes' family.

"So many in the NSW cricket family know Greg, Virginia, Jason and Megan personally. It is tragic that Phillip has been taken from them so young. He reflected their strong country values and warmth as a loving, caring family.

"Phillip is fondly remembered as a bright and cheeky young man with an infectious smile who emerged as an outstanding junior more than a decade ago.

Prime Minister Tony Abbott described Hughes as a "young man living out his dreams".

"His death is a very sad day for cricket and a heartbreaking day for his family," Mr Abbott said.

"What happened has touched millions of Australians. For a young life to be cut short playing our national game seems a shocking aberration."

Opposition Leader Bill Shorten said Hughes brought so much more to the dressing room than a piercing cut shot and prodigious talent.

"He was a much-loved teammate, a country boy made good whose fighting qualities were admired in equal measure by friend and rival," he said.

Labor frontbencher Chris Bowen tweeted: "Few of us knew him. We all mourn him. A life lost far too soon."

His colleague Anthony Albanese reflected on his personal connection to the batsman.

"Fond memories of him taking time to give batting tips to my son - a lovely bloke and great cricketer," he tweeted.

Greens leader Christine Milne said cricket brought many Australians so much joy.

"But today this tragic event brings us an overwhelming feeling of sadness and a coming together to pay tribute to a wonderful young Australian," she said.

Flags at the MCG are being flown at half-mast on Thursday.

NSW Premier Mike Baird said all government flags would be at half-mast on Friday as a mark of respect.

"I am deeply saddened by the passing of cricketer Phillip Hughes," he said.

"This is a heartbreaking time for all cricket and sport lovers in our state. Phillip was a much-admired, dedicated and supremely gifted cricketer who we all felt was on the verge of fulfilling his immense talent.

"My condolences at this distressing time are with Phillip's family and friends, his current and former teammates and the entire cricket family.

"As a mark of respect I have asked all flags on NSW Government buildings and establishments be lowered to half-mast tomorrow."

Cricket great Glenn McGrath and former test wicketkeeper Adam Gilchrist were among those to tweet responses to his death while Australian Olympic Committee president John Coates has sent his condolences to Hughes' family on behalf of the country's Olympians.

 South Australian Cricket Association chief executive Keith Bradshaw said Hughes was a very popular member of the state team.

Macksville rocked by news

As news filtered through of Hughes' death, his home town of Macksville fell into a shocked silence.

"Everyone is beside themselves. The town has gone quiet. The streets are empty," Nambucca Hotel bar manager Karl Spear said of the feeling in the 2500-strong town.

"I'm struggling to work today.

"He was home about 12 times a year to see family and he'd frequently come here with his mates."

Rugby league star Greg Inglis, who grew up down the road from Hughes in Macksville, tweeted: "Thinking about the family ... I'm so sad to hear this news ... Another great mate taken too soon R.I.P #PhillipHughes you true champion."

The son of a banana farmer was remembered as a "warm unaffected country boy" in Macksville, which is halfway between Sydney and Brisbane.

"The family and friends, the local cricket community and the whole Nambucca Valley community would like to pass on our deepest condolences to the Hughes family following the tragic death of Phillip Hughes," the community said in a joint statement.

Story courtesy of smh.com.au