The Blackpool-born star says the annual showcase has been at the ‘top of her list’ since setting out on her music career.
The singer said: “I’ve been going down to the Lights Switch-On for my entire life.
“It was always the highlight of the summer, the perfect end to the holidays and usually the day or two before my birthday.
“I have always wanted to perform as part of it.
“This gig has been the top of my list of dream gigs since I started seven years ago.”
Rae joins a show which is being headlined by Fleetwood’s international music sensation Alfie Boe pulling the switch, as well as performances from Ella Eyre, Jonas Blue, Diversity and DVJ (Diversity Juniors), and HRVY at the Tower Festival Headland on Friday, August 31.
She's never made any secret of her love for her hometown, and earlier this year released the title track from her second album Someone Out There with a video featuring three generations of her family, including her parents travelling along the Prom in a campervan.
Rae is even seen playing the Tower Ballroom Wurlitzer organ in the film.
The 25-year-old former St George’s School pupil added: “Blackpool is my hometown and I love everyone there so much.”
“I was back earlier in the year making the video for Someone Out There and it’ll be very special to return again to sing that song and others.
“I’m honoured to have been invited.”
Blackpool Council deputy leader Gillian Campbell said: “Rae has gone on to become one of the UK’s most accomplished young singer-songwriters, but she has never forgotten her Blackpool roots.
“We are delighted to bring her back to Blackpool to perform on stage at the biggest event in the resort’s calendar.”
The ballot for the Switch-On is closed. VIP packages are available at www.visitblackpool.com/switchon