Boney, 22, made 37 appearances for Shields last season on loan from Blackpool and has now made the switch permanent.
He said: “I’m very excited to be a South Shields player again.
“It was a very easy decision for me after the good season I enjoyed here on loan.
“From the moment I joined last summer I felt very welcome and loved the place, the staff and the players.
“The fans also took to me really well and if the fans, players and staff like you, you get a very homely feeling.
“When the opportunity came about to come back on a permanent basis it was a no-brainer, and I’m buzzing to be part of things moving forward.”
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