The US president announced the news in a tweet, with the change set to take place on April 9.
The move comes despite repeated rebuttals from the White House over whether Mr McMaster would be removed from office. Mr McMaster, who had never met Mr Trump before being interviewed for the role, clashed with the president over the Iran nuclear deal and Afghanistan policy, The Telegraph reports.
In his latest hardline stand, John Bolton backd Britain in blaming Russia over spy poisoning.