Diffuse optical tomography (DOT) is a new and effective technique for functional brain imaging. It can detect local changes in both oxygenated and deoxygenated haemoglobin concentrations in tissue based on differential absorption at multiple wavelengths. Traditional methods in spatio-temporal analysis of haemoglobin concentrations in diffuse optical tomography first reconstruct the spatial distribution at different time instants independently, then look at the temporal dynamics on each pixel, without incorporating any temporal information as a prior in the image reconstruction. In this work, we present a temporal haemodynamic response function model described by a basis function expansion, in a joint spatio-temporal DOT reconstruction of haemoglobin concentration changes during simulated brain activation. In this joint framework, we simultaneously employ spatial regularization, spectral information and temporal assumptions. We also present an efficient algorithm for solving the associated large-scale systems. The expected improvements in spatial resolution and contrast-to-noise ratio are illustrated with simulations of human brain activation.