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Thousands of music videos pulled from YouTube in a royalties dispute will go back online after peace broke out todaybetween the website and the music industry.

A new licensing deal with PRS for Music, the trade body that collects music royalties, has brought the six-month dispute to an end.

It began when YouTube accused the PRS of proposing exorbitant new payment terms and led to the website fending off criticism from the PRS, which felt it was punishing British music fans by removing videos in the quest for greater profits.

Thousands of music videos are now being reinstated after being blocked from the site by YouTube's parent company Google during the licensing wrangle.