Since March 2017, motorists caught using a hand-held phone have faced incurring six points on their licence and a £200 fine – up from the previous penalty of three points and £100.
Mr Shapps said drivers who use a hand-held mobile phone are putting lives at risk by “hindering their ability to spot hazards and react in time”.
He continued: “This review will look to tighten up the existing law to bring it into the 21st century, preventing reckless driving and reduce accidents on our roads.”
Labour MP Lilian Greenwood, who chairs the committee, described the announcement as “great news” but warned that “the risk from hands-free devices is just as real”.
She added: “While we’re pleased that ministers will prioritise work on hand-held mobiles, this issue still needs to be addressed.”
RAC road safety spokesman Simon Williams warned that tightening the rules on phone use is “only as powerful as the level of enforcement”.
He said: “In the absence of technology being used to catch offenders, the decline in the number of road police officers means there is a much lesser chance of being caught in person today than there was 10 years ago.”