In this narrative review, the relationships between digitalisation and the mental health status among children and youths will be discussed first. Second, amidst the pandemic, parents and children have much more time to spend together at home, so parenting plays a more significant role in determining children’s wellbeing. Therefore, how different parenting styles impact digitalisation and the mental health experienced by children and youths will be assessed. This narrative review aims to investigate the parenting conditions needed for children and youths to benefit from the growth of digitalisation, so that policies for digital transformation can be recommended. The outputs of this narrative review include recommending the endeavours of digital transformation that involve indiscriminately active inclusion and facilitating privileged young people, as well as their less advantaged counterparts, to maximise the advantages digitalisation offers.