The Scotland international commits his future to the Hawthorns with manager Steve Clarke claiming the midfielder's hard work has been reqarded with the new deal
The Scotland international is the longest-serving player in the Baggies' squad after joining in 2007 from Middlesbrough.
He has since become an integral part of the first-team making over 150 appearances in his five years at the Hawthorns.
West Brom boss Steve Clarke believes the new deal is testament to the 26-year-old’s improvement during his time at the club and the hard work he has put in.
Clarke told the club’s official website: "After strengthening the squad during the transfer window, it’s equally important to hold onto your best players and I’m delighted James has signed a new deal.
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"The new contract is fair reward for James’ hard work and efforts.
"He’s been here a number of years now and has always been one of the key players.
"This is a good message to send to the rest of the squad, that if you do well and keep improving you will be rewarded.
"It’s also a big coup for the club because I’m sure that if James was on the market, there’d be a few clubs interested in him."