Bardsley has spent the last three seasons with the Potters, where he made 63 appearances in all competitions, but he was only used as backup during the most recent campaign.
However, after a transfer was agreed between the two clubs, the 32-year-old quickly penned terms with the Clarets and he returns to a team who he represented on loan in 2006.
"I've had different spells and different clubs since then and I'm delighted to be back," he told the club's official website.
"It's a club that's going in the right direction with a fantastic manager and a great group of players which I'm looking forward to being part of.
"It's a well-knitted group which did fantastically well last year and hopefully I can bring something to the squad."
Bardsley joins former Stoke teammate Jonathan Walters in being signed by Burnley.