Discussing the news, Luton boss Nathan Jones said: “We are delighted to get it done. Pelly was out of contract, so it was his prerogative to test the water and see what was out there.
“It’s taken a little bit longer than we would have liked, but the process was thorough on their part, and he knew all along that we wanted to keep him. He had a fantastic season and he’s only going to get better.
“He sees that and we are delighted to get him done because he’s an important player for us. I think we’ve been patient, but professional in terms of saying to him ‘look, you are our player, we want to keep you because you are important to us and have been on a journey with us’.
“Thankfully we’ve done that so it’s a big signing for us because he’s important to us, we care about him and he plays his best football when he plays for Luton. Now we are just looking forward.”
Here’s look at today's latest transfer talk and the latest team news involving Luton Town and the rest of the Championship, as build-up to the eagerly-anticipated new season and the summer window reaction continues:
5. Blades line up Hourihane move
Sheffield United are said to be chasing Aston Villa midfielder Conor Hourihane, who could be signed instead of Fulham's Tom Cariney. Hourihane, who has 26 senior caps for the Republic of Ireland, join Villa from Barnsley for £3m back in 2017. (Mirror)
Photo: Eric Alonso
6. Rams appeal over embargo restrictions
Derby County have appealed to the EFL in hope of seeing their transfer embargo restrictions relaxed, as the club look to sign new senior players ahead of the new season. The Rams had just nine senior players in the squad when they faced Manchester United in a pre-season friendly last weekend. (BBC Sport
Photo: Alex Livesey
7. Cherries close in on Dann
Bournemouth look to be moving closer to signing free agent Scott Dann, who was released by Crystal Palace at the end of last season. The ex-Blackburn Rovers ace is said to be of keen interest to new manager Scott Parker, who is on the hunt for an experienced defender, (Football Insider)
Photo: Dan Mullan
8. Owls join Hunt race
Sheffield Wednesday are said to be keen to re-sign their former player Jack Hunt, and could beat Blackpool and Cardiff City to the ex-Crystal Palace man. The 30-year-old is currently a free agent, after being released by Bristol City at the end of last season. (Football Insider)
Photo: Marc Atkins