ACC Liverpool's win follows a joint bid submitted to the Labour Party by the venue, Liverpool City Council, and The Merseyside Partnership.
The Labour Party Annual Conference 2011 is projected to be worth millions of pounds to the Liverpool economy.
Prime Minister Gordon Brown will lead the event, which is anticipated to attract more than 20,000 delegates.
ACC Liverpool chief executive Bob Prattey said the venue is well suited to high profile events because it can be sealed off to create a secure area.
BT Convention Centre Liverpool general manager Jacquie Rogers said: "The news that one of the UK's main political parties has chosen ACC Liverpool for its biggest annual gathering is a major coup for the city and confirms our standing as a major player in the meetings industry."
The Labour Party is holding its 2010 annual conference in Manchester.