The 19-year-old, who impressed against Fulham last weekend, is the latest in a line of Reds to commit their futures to the club.
Liverpool have rewarded Harvey Elliott with a new deal to keep him at Anfield until 2027, even though he had four years remaining on his previous deal.
It is the third contract Elliott has signed with Liverpool in just over three years, after joining from Fulham in 2019 and then getting an extended deal 13 months ago.
But a pay rise reflects their policy of giving improved and long-term contracts to players who they have impressed and who they want to tie down.
Elliott said: “It’s always nice to know that I’m going to be here for many more years, which is always a great thing with it being my boyhood club and there is nothing in this world that makes me more happy and more excited than this.
“There is no better place in this world to be than playing for Liverpool and to put the shirt on and go out and play. I’m hoping there are many more memories to come.”
Elliott has only made four league starts for Liverpool but excelled at the start of last season before suffering a dislocated ankle in September’s win at Leeds and has begun the current campaign well, with an influential cameo as they came from behind to earn a point at Fulham on Saturday.
Manager Jurgen Klopp has said he is reluctant to sign another midfielder because he wants to give chances to the youthful trio of Fabio Carvalho, Curtis Jones and Elliott. The England Under-21 international, who joined Liverpool as a winger, is seen as an option in the front three and on the right of a midfield trio.
Elliott became the youngest Premier League player during his time at Fulham and impressed Liverpool with his maturity and professionalism during his recovery from injury last year.