UK Defence Secretary Philip Hammond said the head of the army, Sir Peter Wall, would report back by the end of the year when a person's fitness, not their gender, will be the main reason of whether a soldier can fight in battle.
Currently women can serve on the frontline, but not where the primary aim is to "close with and kill the enemy".
"I think that at a time when the Americans, the Australians, the Canadians, even the French - the Israelis of course for years - have women in their combat arms, this is something we have to look at again," Hammond told a Parliamentary Press Gallery lunch here today.
The last review, held in 2010, found women would be able to meet the physical and psychological standards required for close quarters combat.
The change in rules, if accepted, will apply to the infantry and the armoured divisions, where female soldiers are not allowed to bear arms.
Women soldiers serve in the Special Reconnaissance Regiment but not in the SAS and the SBS.
The Ministry of Defence is required under European law to review its policy every eight years.
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