It will hire 500 additional employees, including engineers, marketers, project managers and sales staff.
"The UK remains one of the best places to be a tech company," said its London-based executive, Nicola Mendelsohn.
Facebook's new headquarters will be in Fitzrovia at a site that is currently undergoing redevelopment.
The majority of the new staff will be based there.
Ms Mendelsohn will announce the expansion at the Confederation of British Industry conference later.
'High-skilled jobs'