Southampton has recently made several changes to the organization around the academy.
In November, Tonda Eckert was promoted to the role of head coach of the first team.
Which led to former Liverpool and Brighton midfielder Lallana stepping in and taking responsibility for the U21 team on a temporary basis.
Now Southampton confirms that the solution will be permanent.
The club announces that Lallana has signed a new contract and will continue as head coach of the U21 team.
" When I found out that there was an opportunity to work with the U21 team and get closer to the coaching role, I became very enthusiastic," Lallana told the club's website.
"It feels right to be at the club where I myself came through the academy. I feel I have a lot to give back and want to help the young players develop. We have had debutants this season and that makes this assignment extra inspiring."