Two Royal Navy ships are preparing to return home after a protest by French fishermen over post-Brexit rights in Jersey's territorial waters ended, reports BBC News.
The UK government said "the situation is resolved for now" but "we remain on standby" to assist Jersey.
French fishermen say their rights are unfairly restricted by licences issued under the Channel Island's new system.
Jersey's external relations minister Ian Gorst said discussions with the French crews had been "positive".
The UK said it had agreed with Jersey's government that one of the Royal Navy offshore patrol vessels will return to its home port on Thursday night while the other will leave on Friday morning.
Prime Minister Boris Johnson said he was "pleased the situation in Jersey has been resolved."
"The UK will always stand resolutely by the people of Jersey," he said.
About 60 boats took part in a protest at St Helier, Jersey's capital and main port, prompting the dispatch of two Royal Navy ships - HMS Severn and HMS Tamar - and two French vessels to the area.
The French government said it was acting "in a spirit of responsibility" after the "British failure" to abide by the trade deal.
It said it hoped the situation would be "swiftly resolved by the full and total implementation" of the deal, which France said allowed continued access to British waters for fishermen who worked in them prior to Brexit.
"We want to use all the leverage at our disposal to protect the fishing industry and enable it to continue its activities," a spokesman for France's Ministry for Europe and Foreign Affairs said.
A spokesman for fishermen from France's Normandy region suggested the situation was still in "deadlock". Hugo Lehuby told Reuters news agency: "Either this gets resolved, or retaliatory measures are taken."
And a European Commission spokeswoman said "additional conditions" attached to the new fishing licences were a breach of the Brexit trade deal.
France has threatened to cut off electricity to Jersey, the largest Channel Island and a Crown dependency, located 14 miles (22km) off France. Crown dependencies are not part of the UK, but are defended and represented internationally by the British government.