The 26-year-old defender joined the Hatters in June 2021 after he helped Hull City secure promotion to League One.
Burke has spent most of his career at West Ham, signing for the Hammers in 2003 when he was nine years old and made 15 appearances before departing for the Tigers in 2018.
Since arriving at Kenilworth Road, Burke has made 57 appearances for the Hatters and has scored four goals, most notably in the Emirates FA Cup fifth round tie against Chelsea in March 2022 and his late winner at Huddersfield Town on New Year’s Day.
“I’m absolutely delighted,” said Burke. “I’m grateful to have another opportunity, buzzing to continue my journey here. It’s been two successful years here, the first season we got in the play-offs and didn’t get promoted but in the second season we did go up.
“Wembley was the best day of my life in football, so I’m really delighted to stay. Personally, last year was difficult for me in terms of injuries, my main focus this time is to stay fit and try to do well. When I’m fit, I play well so I know I’ve got more to give.
“I just enjoy coming into training every day, we’ve got a great team, great staff, great fans, I like everything about this club, so it was a no brainer really.
“Over the last two seasons, the best moment would be Wembley, I came on so early in the game, but I did well and that feeling when we won was unreal. It’s so hard to describe but it’s my best day in football for me.”
When asked about Burke, manager Rob Edwards explained: “Let’s start at the play-off final with Burkey, because I thought his mentality to come on so early, in difficult circumstances when Locks went off when he did. To come into that, the biggest game of all of our careers, and perform as he did against really tough opposition, just says everything you need to know about him.
“He’s a brilliant bloke who is another one who is just a bit frustrated because he needs that run of games and then just feels little niggles, but he worked so, so hard to get himself fit for the play-off games. The medical team did brilliant with him to get him right, and he’d have been disappointed not to be playing in the final, but he came on and he was incredible.
“He’s another one, when you think about his goal away at Huddersfield on New Year’s Day, he got three wins in a row for us and it was a really important goal. But his performances, whenever he did play, were excellent. Even in a game we lost, Burnley at home, I thought he was magnificent.
“He’s got energy and from that right-sided position he can be really brave. He’ll bomb on, he’ll overlap, he’ll put crosses in, he’ll be aggressive in defensive situations.
“I think he’s a really good player and a really important player for us, so I’m delighted that he’s agreed a contract extension because when he’s fit, him and Gabe is a right good battle for that position.
“I know now the big thing for him will be consistently staying fit and consistently playing, but I know he’s capable of it.”