Allen, who joined from Liverpool in 2016, will form a key part of Stoke's promotion bid in the Championship next season, along with new signings Benik Afobe and Oghenekaro Etebo.
Admirably, the Wales international has explained that he had little desire to turn his back on Stoke after relegation and is hoping to 'set the record straight.
"I spoke to Tony Scholes once the season had ended and he made it very clear that the club weren't interested in selling me and that they wanted me to stay on," he told StokeCityFC.com.
"That stance from the club, coupled with how settled I am here, how happy I am and how much I've enjoyed it, made it pretty straightforward for me.
"As players we have to shoulder responsibility for what happened last season. Sometimes in football when things go wrong players try to wash their hands of it but I'm hoping a few more of the lads will have the same target of trying to set the record straight and helping the club bounce straight back."
New manager Gary Rowett, who took over from Paul Lambert, commented, Joe's were the first comments that I read at the end of last season and it was clear from what he said that he wanted to atone for what had happened. That's exactly what any club, any set of fans and any manager want to hear - they want players to feel a sense of responsibility.
"For a player of that quality to want to stay, want to commit to the future tells you how good the club is and that he can see potentially a better season ahead.
Allen has previously experienced Championship promotion at Swansea, forming a key part of the team led by Brendan Rodgers that secured a place in the top flight in 2011.