The final will kick-off at 15:00 GMT and is due to be broadcast live on the BBC.
Selhurst is no stranger to hosting top-level women’s football, with the Vitality Women’s FA Cup final held there on three occasions between 2001 and 2003, and Palace having played there twice this season – setting a new record attendance both times.
This year’s Women’s League Cup final follows on from a record-breaking attendance of over 8,000 at AFC Wimbledon in 2021/22, when Manchester City overcome Chelsea 3-1.
Kelly Simmons, FA Director of The Women's Professional Game, said: "We’re really looking forward to working with Crystal Palace over the coming months to put on a really exciting final.
“Selhurst Park hosts some of the best men’s players in the world over the course of the season in the Premier League and has also played host to Crystal Palace Women. It is a fitting venue for the final to be held in March.”