"Aston Villa is delighted to announce the permanent signing of Philippe Coutinho from Barcelona for an undisclosed fee.
"The Brazilian playmaker has signed a contract until 2026," the English Premier League club said in a statement.
Meanwhile, Barcelona said on its website that both clubs agreed to Coutinho's permanent move to Aston Villa for €20 million ($20.76 million).
It said Barcelona "inserted a 50% sell-on clause for any future sale of the player."
Playing on the left wing, Coutinho, 29, previously joined Aston Villa on loan from Barcelona in January.
During his football career, he has also played for Inter Milan, Liverpool and Bayern Munich.
Coutinho won the 2020 UEFA Champions League and the German Bundesliga title with Bayern Munich in the same year.
He was a Spanish champion with Barcelona in 2018 and 2019.
Coutinho also helped Brazil win the 2019 Copa America.
This season, Coutinho scored four goals in 16 Premier League matches for Aston Villa.
