The 52-year-old is currently head coach of New South Wales but he will take up his new post ahead of the Ashes series against Australia, which gets underway on July 8.
Caretaker coach Paul Farbrace, who oversaw England’s thrilling first Test victory against New Zealand, will remain in charge for the second Test, which starts on Friday,??and the subsequent limited-overs matches, before becoming assistant to Bayliss.
Bayliss will replace Peter Moores as permanent head coach, having edged out his compatriot Jason Gillespie, who was seen as the early front-runner for the post.
???It???s an honour to be appointed England coach,” said Bayliss.
“There???s a great opportunity to help (Test captain) Alastair Cook and (one-day captain) Eoin Morgan shape the direction and development of their respective teams.
“I am also looking forward to working?? alongside Paul Farbrace once again as we have a similar outlook on the game, get on well after two years working together (with Sri Lanka), and have kept in touch.??
???What particularly excites me about the role is the chance to work with a very talented group of players.
“I firmly believe that the team has a bright future and I???ll be doing everything I can to help them realise their potential and achieve success on a consistent basis.”
The England and Wales Cricket Board’s new Director of England cricket Andrew Strauss led the search for the new coach and is excited about the appointment.
“Trevor has an outstanding record as coach, has global experience and is very highly regarded in the game,” Strauss said.
“He has proved himself in both domestic and international cricket, has a strong reputation for man-management, and has shown how to build winning teams in all three formats.??
“His expertise in the shorter forms of the game will be vital as we build towards three major ICC events over the next four years; the ICC World T20 tournament in India in 2016 and the ICC Champions Trophy and ICC Cricket World Cup, which will be staged in England and Wales in 2017 and 2019 respectively.??
“Trevor will also work well with Paul Farbrace, an exceptional coach who will continue as assistant coach after helping us to an outstanding victory over New Zealand in the First Investec Test of the summer.
“This has been a very competitive recruitment process and we’re grateful to all of the candidates who showed their interest in this role. I’m excited to have him on board.”
The experienced Bayliss has won the Sheffield Shield twice with New South Wales and worked with Farbrace during a spell in charge of Sri Lanka, who he guided to the 2011 World Cup final.
He has also enjoyed great success in the T20 format, steering Sydney Sixers to Big Bash and Champions League success in 2012, and won the Indian Premier League with Kolkata Knight Riders in 2012 and 2014.
There will be not be much of a honeymoon period for Bayliss, whose first task will be to regain the Ashes from Australia, who thrashed England 5-0 when the sides last met in 2013-14.
England have endured a turbulent time since that humiliating defeat was followed by the much-debated decision to sack controversial batsman Kevin Pietersen.
ECB managing director Paul Downton then lost his job in April following a poor World Cup showing from England, who failed to even reach the quarter-finals.
And Moores was removed by Strauss after that disappointment was followed by a drawn Test series against West Indies in the Caribbean.