Union leaders are claiming victory in their pay battle with new universities and are set to halt paralysing industrial action.
Vice-chancellors have dropped their opposition to minimum national terms and conditions and have agreed to reopen talks on the 3 per cent pay offer.
During a seven-hour meeting with employers, lecturers' union Natfhe agreed to release the marks they had withheld from thousands of nursing and midwifery students, who were being prevented from starting their National Health Service jobs.
"Vice-chancellors have certainly learned that Natfhe is a force to be reckoned with," the union told its members in a consultation paper urging them to agree to suspend action.
The vice-chancellors, through the Universities and Colleges Employers Association, have accepted the continuation of national bargaining on pay and conditions and have agreed to recommend that any pay withheld from staff should be reimbursed.
While the UCEA is adamant that the 3 per cent this year will remain, unions expect a two-year deal, that the UCEA agreed to explore, will allow for improvements.
Natfhe said: "The UCEA was left in no doubt that if talks did fail, members' anger would mean not only the resumption of withholding marks but, very likely, moves to further escalation including strike action."