Millar Matthews-Lewis scored for the Hatters on the stroke of half-time, but was not enough after Leo Castledine’s double, Dylan Williams and Tyrique George netted for the hosts.
There was plenty of Town representation in the stands, with Manager Rob Edwards, CEO Gary Sweet, Chairman David Wilkinson and other members of the first-team staff all in attendance.
Chelsea full-back Josh Brooking looked to threaten with his cross in the first two minutes which flashed across the Town goal.
The first shot on target of the game was registered by the Hatters a few minutes later, Jake Burger’s free kick was palmed away comfortably by Eddie Beach.
After a lively start, the game quietened down, but Burger looked the most lively for the Hatters, having a shot deflected, saved and a cross pushed away by Beach.
The best chance of the game so far fell to Castledine as he met a cross from the left-hand side and could only head it straight at Jameson Horlick from six yards out.
Castledine would not let another opportunity pass him by, a brilliant right-footed cross from the left by Brooking gave Castledine a carbon copy chance to head past Horlick.
Town wanted to respond positively to going behind, and almost found an equaliser when Axel Piesold won the ball high and laid it to Sam Anderson whose shot failed to find the bottom corner.
While the visitors looked threatening going forward, Williams was able to double Chelsea’s lead at the other end with a cool finish across Horlick.
Horlick was called into action again before the break as Castledine again was causing problems, his third back-post header of the half was acrobatically stopped by the Luton goalkeeper.
That kept the Hatters in the game and then scored at the perfect time before the interval, good link-up play between Burger and Matthews-Lewis gave the latter the chance to fire low past Beach.
It was a quiet start to the second half as the Hatters looked for the equaliser, Chelsea created the bulk of the chances but nothing that troubled Town’s net.
Luton were persistent and almost levelled the game with an absolute screamer from Piesold, but Beach made an equally good save to stop the ball flying into the top corner.
The effort was put in by the young Hatters, however Chelsea wrapped the match up as Castledine found his second of the game when he headed in Williams’ free kick.
Town were left unhappy after George added a fourth for the home side late on, believing there was a foul on Claude Kayibanda in George’s route to goal.
Adrian Forbes' young Hatters travel north for their next Premier League Cup fixture, facing Leeds United at LNER Community Stadium on Friday 6th October.
Luton Town: Horlick, Pinnington, Kayibanda, Bateson, Johnson, Phillips, Piesold, Luker, Burger, Matthews-Lewis (Heron, 87), Daws (Anderson, 13).
Subs not used: Hockey, Benagr, Chigozie.
Goals:
Ch – Castledine 30’, 89’, Williams 36’, George 90+5’
LT – Matthews-Lewis 45+6’