Philippe Coutinho
Philippe Coutinho has been officially announced as a Liverpool player [Twitter] REUTERS

Liverpool have confirmed that they have completed a deal to sign attacking midfielder Philippe Coutinho from Inter Milan.

The Brazilian, who has put pen-to-paper on a long term contract, becomes Liverpool's second signing during the January transfer window after the arrival of Daniel Sturridge from Chelsea.

Coutinho had already completed his medical and Liverpool were merely on the announcement that his work permit had been granted before announcing the deal.

The 20-year-old had struggled to force his way into the Inter first team this season but did impress on a six-month loan last year when he scored five goals in 16 appearances for Spanish side Espanyol.

Coutinho said: "I'm feeling very happy, it's a very important step in my career and I'm expecting to come here and play good football to give my contribution on the pitch.

"Liverpool is a great club with great players. We've always heard about Liverpool's history in Brazil. They are the club that have been interested in me and that have showed this interest so I know they believe in me and my football."

Coutinho has one cap for Brazil and began his career at Vasco de Gama before being spotted by former Liverpool manager Rafa Benitez who signed him for Inter in the summer of 2010.

"We're always delighted when we get the players we go after," said manager director Ian Ayre.

"It has been a successful transfer window for us, coming off the back of acquiring Daniel Sturridge from Chelsea and now Philippe from Inter Milan.

"I think that bodes well for us for the rest of the season and the future."

Coutinho will cost Liverpool £8.5million and will be able to watch his teammates in action on Wednesday night when they play Arsenal at the Emirates.