Livermore, 24, spent last season on loan at Hull, making 41 appearances in all competitions and helping them to avoid relegation with a 16th place finish in their first season back in the Premier League.
He also played in the FA Cup final loss to Arsenal.
"I'm delighted to be joining Hull City on a permanent basis," he told the club website on Wednesday after signing a three-year contract.
"I thoroughly enjoyed my season here on loan and I firmly believe that this club will keep on going from strength to strength. I made my feelings known that I wanted to come here permanently and once the two clubs had agreed the fee, it was very straightforward."
Livermore graduated from Tottenham's youth academy to the senior team, and has been capped once by England.
(Reporting by Josh Reich, editing by Pritha Sarkar)
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