Luke Wilson at the 1st Year Anniversary celebration of JET night club. Las Vegas, Nevada - 31.03.07

Wilson and Hudson have spent months refusing to confirm or deny reports they're dating, but the OLD SCHOOL star tells People magazine his brother is "very happy" with the romance.

And it seems the couple aren't hiding their love for each other anymore - diners in Santa Monica, California watched the pair make out during a recent meal out.

One witness says, "From the second they walked in, they were all over each other. Kate even sat on his lap to give him kisses."

Single mum Hudson split from her husband, rocker CHRIS ROBINSON, last summer (AUG07).

Source: WENN