The review, to be conducted by chief medical officer Dame Sally Davies, will cover cyberbullying, online gaming where there is a social media aspect, sleep problems, and problematic internet use, also known as "internet addiction".
Davies will draw up guidance to help parents ensure children don't use social media in a way that harms their mental health, which will include what age a child should be allowed to sign up to a social media account, and how often they should have access. Interim findings from the review will be punished in December.
Hancock said the threat of social media on mental health is "similar to that of sugar on physical health".
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