The 21-year-old previously spent time on loan at Northampton Town this season after falling out of favour at London Road.
Hatters boss John Still believes that the former Southend United man will prove to be an astute signing.
“He’s an all-action midfield player who plays a high-energy game and gets all around the pitch,” Still told Luton's website.
"He’s the sort of player I like. He can come up with the odd goal and for him to play 30-odd games in the Championship last season speaks volumes."