The 39-year-old jetted off to South Africa earlier this year amid reports he was suffering from exhaustion.
The actor was spotted back on set at Elstree Studios on Monday and we’re promised his return will be “classic EastEnders”.
Following his decision to take a break from the show, Danny’s character, Queen Vic landlord Mick Carter, was hastily written out of the soap.
Viewers saw Mick booking a last-minute flight to Bulgaria to be with his daughter Nancy Carter, who had been struck by a car and was in hospital.
The source added: “Everyone is looking forward to seeing him back in action. He’s one of the soap’s key stars.”
Danny first arrived in Albert Square in 2014, and hasn’t taken much of a break in the three-year period since Mick Carter took over as landlord of the Queen Vic.
In that time, he has bagged a handful of awards, including Serial Drama Performance at the National Television Awards two years running, and Best Soap Actor at the TV Choice Awards.