Mubarak was convicted and sentenced to life in June for failing to prevent the killing of some 900 protesters during the 2011 uprising that ended his 29-year rule.
Sunday's verdict, read out by judge Ahmed Ali Abdel-Rahman during a brief hearing, also granted the appeal of Mubarak's security chief Habib el-Adly, who is also serving a life sentence after his conviction on the same charges. He too will be retried.
Egypt’s ousted president was on Saturday questioned over gifts worth millions of Egyptian pounds allegedly received from the country’s flagship state newspaper, a judicial source said.
According to the official MENA news agency, Mubarak received gifts worth seven million Egyptian pounds (around one million dollars) from the Al-Ahram press foundation between 2006 and 2011 when he was ousted.
He was acquitted of previous corruption charges on a technicality, but his two sons who were on trial with him, are facing fresh fraud charges.
Several Mubarak-era ministers and officials are currently in jail for corruption.
Mubarak is currently being treated at a military hospital, where he was moved from prison, suffering from cracked ribs and fluid in the lungs.