Albion were subsidising his wages and wanted Barnsley to agree to sign a deal that would make him a permanent signing at the end of the season. But today a new loan deal was ironed out and Steele will be in goal at Wembley against Cardiff City.
W.B.A. chairman Jeremy Peace said: "I am delighted for all parties concerned - and particularly Luke - that we have been able to come to an agreement.
"We have always been happy for Luke to go back to Barnsley and play in the semi-final - providing the deal was right for us.
"We felt we were a big help to Barnsley by allowing Luke to join them for a month and heavily subsidising his wages.
"Now Barnsley's financial situation has changed due to their lucrative FA Cup run, we have managed to strike a deal which suits everyone.
"Luke was third-choice goalkeeper here and unlikely to get first-team football. He has now got a chance to play regularly and we wish him every success at Barnsley."
