Your literature review must comply with all the requirements outlined in section 7 (pp. 16-35) of the document entitled “Guidelines on writing a first quantitative academic article”.
The literature review section of a proposal should focus on the most recent literature relevant to your topic and should, at least, cover the relevant literature from the last 5 years.
Consider structuring the literature review section into “chapters” along the lines of the chapters that you envisage for your final thesis or dissertation.