As reported on Brand Republic in August, Lewis had been in the frame to take over as editor for some time, following the departure of Martin Newland's departure nearly a year ago.
Lewis has been working as managing director of editorial, and will now become editor as the title moves into its new multimillion-pound offices in London's Victoria, a move that Lewis oversaw.
Murdoch MacLennan, Telegraph Group's chief executive, said: "This is a time of great change for the paper and the rest of the company.
"Will has the vision, the energy and the determination not just to keep the Telegraph at the top of the business, but -- working closely with deputy editor Ian MacGregor -- to inspire his team to build our brand success."
Lewis said: "We have enormous opportunities ahead of us. With a brand known for its honesty and integrity, and a brilliantly talented team of reporters and columnists, The Daily Telegraph and our range of multi-media products have an exceptionally bright future."
Previously, there was speculation that Lewis being promoted to managing director of editorial would put him out of the running for the editorship.
Lewis joined the Telegraph in autumn 2005 as joint deputy editor, and was promoted to managing director of editorial in August.
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