Presley, who plays The Wicked Queen, will be joined in the cast by Life's Too Short star Warwick Davis and comedian Jarred Christmas.
Billed as "a dazzling fairytale of a pantomime guaranteed to melt everyone's hearts", Snow White and the Seven Dwarfs runs from 7 December 2012 to 13 January 2013.
Presley, ex-wife of Elvis and mother of Lisa Marie Presley, has acted in the Naked Gun film series and played Jenna Wade in popular US soap Dallas.
She said of her latest role: "I am so delighted to be making my pantomime debut in Snow White and the Seven Dwarfs. I have heard such wonderful things about British pantomime; the script is hilarious, my costume is sensational and I can’t wait to get started and give the people of London my Wicked Queen."
Kevin Wood, chief executive of producers First Family Entertainment, added: "I thought it couldn’t get better than David Hasselhoff and Pamela Anderson and then along came Dame Edna Everage. But this year we have scooped the jackpot; it's only Priscilla Presley, Hollywood royalty, TV icon and the wife of the King of Rock n Roll, Elvis Presley ... This show is going to be the best yet."