Then, again, what is the point of hell?
Hell came about as a natural consequence of imperfection in the spiritual realm. It came into existence when the Angels revolted and were kicked out of Heaven. Nothing imperfect/impure can be in the presence of God so it pretty much automatically results in a separation.
A loving God would allow them the gift of being deleted from existence
Actually, it's due to God's loving nature that they aren't taken from existence, since love is God's sustaining creative power. In order for a soul to be removed from existence, that would mean that God has stopped loving them and that is contrary to His nature.