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A delighted Clarets chairman Barry Kilby said: "This is a richly deserved honour and one that we fully support. Legend is an over used word but it clearly applies in this case.
"Jimmy is still regarded as one of our greatest sons and he stands alongside such Lancashire greats as Stanley Matthews, Tom Finney and Nat Lofthouse as a real club ambassador. I cannot think of anyone more worthy of being given the Freedom of the Borough and I am sure all fans will join me in congratulating Jimmy on the honour."
Fans will get the chance to show their appreciation when on the day he is bestowed this honour. That evening he will take to the pitch with the Mayor of Burnley during the half time interval at the Cardiff match for a presentation ceremony.
The Mayor, Councillor Ida Carmichael said: "Jimmy was an iconic player who made Burnley his home. He had opportunities to turn his back on his adopted home and move elsewhere but he was never lured away and remained loyal to Burnley all these years.
"He was part of the Championship winning team and I'm sure he is as pleased as everyone else at how well Burnley FC is doing this season. The fortunes of Burnley as a borough are intrinsically tied to the fortunes of Burnley as a team, and that applies as much now as when Jimmy was playing."
This will be the first such honour since 1989 when the Freedom of the Borough was granted to HMS Active.