The 22-year-old - who is ruled out for the rest of the season through injury - had less than six months left on his deal and manager Greg Abbott moved quickly to tie the player down for another year.
"We know all about Chris and what he can do, and we think he is one who is only going to get better and better," Abbott told the club's official website.
"He has been really unfortunate with the injury but, in terms of the contract offer, it was never going to make any difference at all.
"We like him and he likes it here, and he's definitely part of the plans as we go forward.
"He can now concentrate on getting himself fit ahead of next season knowing that this has been done and dusted."
The 22-year-old arrived at the club on loan in 2011 from Manchester City, where he made one substitute appearance, before signing a permanent deal in January 2012.
He has gone on to make 43 further appearances for the Cumbrians before suffering the ankle problem in January.