Manager Brendan Rodgers has moved quickly to secure both players on a free transfer this summer.
The Reds beat stiff competition to secure the duo from Manchester City and Burnley, although they will have to pay compensation for forward Ings because of his age.
Securing Milner in particular is being widely praised, with many believing his experience with City in winning the league and competing in the Champions League will be vital to a relatively young squad at Anfield.
And McAllister is one of those with that viewpoint, believing his experience will prove beneficial to Brendan Rodgers’ side.
"I think it's a very good signing,” he said on Liverpool's website.
"He's obviously a very experienced player. He's a quality player, he can play in three or four different positions and he's a very, very experienced international footballer."
While Milner is expected to slot into the Liverpool first team straight away, forward Ings is seen as more of a long-term signing.
The Reds’ forwards struggled last season with Daniel Sturridge missing most of the season through injury, and Mario Balotelli, Fabio Borini and Rickie Lambert failing to make the grade.
In contrast, Ings scored 11 goals in 35 games for Burnley in his first Premier League season; an impressive feat for a striker in a struggling side and McAllister believes Liverpool and England could have a quality striker on their hands.
"He's a good signing," he added.
“He's come up with Burnley and scored goals in a struggling side who were relegated and proved he can cope in the Premier League. If he can deliver for Liverpool I think England have got another quality striker."