Health authorities this morning confirmed the family of seven have been in quarantine at the Hilton Hotel after returning from overseas.

NSW Chief Health Officer Kerry Chant said: “Whenever anyone tests positive in hotels, a clinical assessment is made, they are either placed in hospital or one of our hospital hotels.”

The three young children were taken to the Royal Prince Alfred Hospital in stretchers at around 10:00 pm on Tuesday night after displaying mild flu-like symptoms.

There are 400 Australians staying at the Sydney Hilton in enforced quarantine.

The distressing news comes as the first 288 Australians quarantined in Sydney’s Swissotel started leaving this morning.

NSW Police Commissioner Mick Fuller said the people who arrived in Australia on March 26 have undertaken the mandatory 14-day self isolation and will be able to leave today.

All travellers will receive a letter confirming their period of isolation and will undergo a final health check before leaving.

After today’s operation, police will plan for further hotel departures with some 3000 Australian residents expected to come out of enforced quarantine over the next week.

NSW reported 48 new cases of the virus overnight, bringing the state’s total to 2734.

There were no deaths overnight, so the state’s death toll sits at 21.

Thirty-six people are in intensive care, with 22 of those ventilated.