The Eu3+-doped novel precursor glass in the K2O-SiO2-SrO-Bi2O3-Ta2O5 system was prepared using the melt-quench technique. The transparent SrBi2Ta2O9 (SBT) glass-ceramic nanocomposites were derived from this glass using a controlled crystallization process. The formation of SBT crystal phase, size, and morphology with increase in heat-treatment time was examined using X-ray diffraction, field emission scanning electron microscopy, and fourier transform infrared transmission spectroscopy. Vicker's hardness study indicates marked improvement of hardness in the glass-ceramics compared to precursor glass. The photoluminescence spectra of Eu3+ ions exhibit emission transitions of D-5(0)-> F-7(j) (j = 0, 1, 2, 3, and 4) and its excitation spectra show an intense absorption band at 467 nm. These spectra reveal that the Eu3+ ions are gradually entering into the SBT nanocrystals present in the glass-ceramics. This study indicates that the incorporation of Eu3+ ions into SBT crystal lattice enhances the photoluminescence performance of the glass-ceramics by two-fold. It is believed that this work would generate significant impact in the exploration of SBT glass-ceramic nanocomposites.