The 23-year-old has joined Town for an undisclosed fee on a contract which runs until the end of the season.
Batty, who joined the Tigers from Leeds United at the age of 15, has made 79 appearances for Hull and was a regular in their Championship side in the last two seasons. He made 58 appearances at that level.
His 13 appearances this season have mostly been in cup competitions and he last played three weeks ago in the side that defeated Fleetwood in the Papa John’s Trophy.
Town further boosted their midfield options on deadline day by recalling Harrison Biggins from his loan at Barrow.
The 24-year-old played 22 times in League Two this season, scoring twice, and now has the chance to add to his 40 League One appearances for Town.
Fleetwood’s other piece of recruitment yesterday saw new boss Simon Grayson reunited with his former Blackpool number two David Dunn.
Former Blackburn midfielder Dunn, whose five months as manager of Barrow ended in December, becomes Fleetwood’s assistant head coach.
The 41-year-old is a former Blackburn teammate of Grayson and they briefly joined forces at Blackpool last January. Dunn had a stint as caretaker manager the following month after Grayson’s departure.
Transfer deadline day saw no players leave Highbury.
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